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    Swot Matrix Itc

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    Riya Pandey
    The SWOT matrix analyzes the strengths, weaknesses, opportunities, and threats for ITC's personal care business. Some of ITC's key strengths include its strong brand portfolio, extensive distribution network, innovative R&D capabilities, and excellent management. Weaknesses include over-reliance on tobacco revenues, lack of pricing power, and limited geographical reach. Opportunities lie in strategic acquisitions, tapping the growing rural market, and increasing purchasing power. Threats include intense competition and foreign direct investment in retail.

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    Swot Matrix Itc

    Uploaded by

    Riya Pandey
    348 views3 pages
    The SWOT matrix analyzes the strengths, weaknesses, opportunities, and threats for ITC's personal care business. Some of ITC's key strengths include its strong brand portfolio, extensive distribution network, innovative R&D capabilities, and excellent management. Weaknesses include over-reliance on tobacco revenues, lack of pricing power, and limited geographical reach. Opportunities lie in strategic acquisitions, tapping the growing rural market, and increasing purchasing power. Threats include intense competition and foreign direct investment in retail.

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    SWOT MATRIX ITC (1)

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    The SWOT matrix analyzes the strengths, weaknesses, opportunities, and threats for ITC's personal care business. Some of ITC's key strengths include its strong brand portfolio, extensive distribution network, innovative R&D capabilities, and excellent management. Weaknesses include over-reliance on tobacco revenues, lack of pricing power, and limited geographical reach. Opportunities lie in strategic acquisitions, tapping the growing rural market, and increasing purchasing power. Threats include intense competition and foreign direct investment in retail.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    348 views3 pages

    Swot Matrix Itc

    Uploaded by

    Riya Pandey
    The SWOT matrix analyzes the strengths, weaknesses, opportunities, and threats for ITC's personal care business. Some of ITC's key strengths include its strong brand portfolio, extensive distribution network, innovative R&D capabilities, and excellent management. Weaknesses include over-reliance on tobacco revenues, lack of pricing power, and limited geographical reach. Opportunities lie in strategic acquisitions, tapping the growing rural market, and increasing purchasing power. Threats include intense competition and foreign direct investment in retail.

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    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 3
    At a glance
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    The key takeaways from the SWOT analysis of ITC are its diverse businesses, strong brands, debt-free status, distribution network, innovation capabilities and experienced management. However, it is highly dependent on tobacco revenues and faces competition and lack of pricing power in personal care.

    The internal strengths of ITC according to the SWOT analysis are its strong brand visibility, extensive and integrated distribution channel, innovative R&D capabilities, excellent management and CSR/sustainable practices.

    The opportunities for ITC according to the SWOT analysis are strategic acquisitions, growing demand due to increasing purchasing power and lifestyle changes, potential in the low consumption rural market, and technological advancements.

    SWOT MATRIX OF ITC PERSONAL CARE

    SWOT analysis is a simple yet an incredible asset to assist a business with


    building up a business system irrespective of one is assembling a startup or
    directing the current organization.
    Strength and weakness are internal while the opportunities and threats are
    external to the organization. SWOT analysis arranges the business
    opportunities, threats, strengths and weaknesses in a basic two-by-two
    framework.
    STRENGTH-
    1. Managing diverse businesses by creating strong brand in various
    businesses. ITC has 105 subsidiaries connected with its various
    operations.
    2. Brand- ITC comes in 10 most valuable brand in a study conducted by
    Brand Finance.
    3. Debt free- It is a debt free company that is why it is said as less
    vulnerable company.
    4. Distribution Channel- Distribution channel of the company helps to reach
    to its customers effectively.
    5. Innovation- ITC has sophisticated research and development facilities.
    6. Excellent Management- ITC has experienced management, credibility
    and visibility in the market by connecting the audience with its
    advertisement.
    7. CSR & Sustainability- Roughly around 6500 E-Choupal CSR activities
    and sustainability practices not only enhances company’s image but also
    bring the spirit of entrepreneurship among farmers.
    WEAKNESS-
    1. Unrelated Diversification- Diversification is there into various product
    lines where the lack of knowledge prevails would be risky.
    2. Competition- Competition from various leading brands in personal care
    like HUL, P&G, Marico has resulted in reduced profit margin for ITC.
    3. Source of earning- ITC is mainly dependent on tobacco revenue which
    contributes 80% of total revenue.
    4. Lack of pricing power in personal care businesses and absence of growth
    drivers have put ITC personal care on a deflationary mode.
    5. Limited liquidity position.
    6. Lack of geographical reach.
    OPPORTUNITIES-
    1. Strategic Acquisitions- ITC can increase its product line by acquiring
    products from other companies by keeping an eye on the existing
    distribution network.
    2. Growing in the purchasing power and lifestyle of people to increase the
    demand.
    3. Per capita “consumption of personal care products in India is the lowest in
    the world offering an opportunity for ITC’s soaps, shampoos and
    fragrances under Wills brand.”
    4. Rural Market- ITC has the golden opportunity to tap in the rural market
    to increase its market share and its visibility and credibility among people
    in rural as well as urban area.
    5. The competitors of ITC lack in financial banking and this can be a major
    opportunity of the company to grab upon.
    6. Technological advancement- Spending money on research and
    development of the company.
    THREATS-
    1. Competition- Tough competition from domestic as well as international
    players such as P&G, HUL, Colgate Palmolive, Reckitt Benckiser,
    Marico.
    2. Foreign direct investment in retail thereby allowing international brands.
    3. Competition from unbranded personal care products.
    4. Exchange rate in various countries.
    TOWS MATRIX OF ITC PERSONAL CARE

    Internal Strengths Internal Weaknesses

    1.Strong brand visibility. 1.Unrrelated diversification of


    2.Extensive and Integrated products.
    distribution channel. 2.Lack of pricing power and
    3.Innovative and excellent R&D. absence of growth drivers.
    4.Excellent Management. 3.Highly dependent on tobacco
    5.CSR and sustainable practices. for revenue.
    4.Decreasing market share.

    External Opportunities SO (Growth alternatives) WO (Stability alternatives)

    1.Strategic Acquisitions. 1.Due to the rise in population, 1.ITC needs to make their
    2.Increasing Population. ITC can enter into rural market products harmless to retain its
    3.ITC has the golden to increase its market share. current customer base and cater
    opportunity to tap in the 2.They can take advantage of the the rising demand of personal
    rural market. integrated distribution channel care products.
    4.Technological and technological advancement 2.With the help of strategic
    advancement. for promotions and acquisitions, pricing power and
    5.Purchasing power and advertisements of their products. growth drivers can be focused.
    lifestyle of people is 3.Personal care products must be 3.With the help of rise in
    increasing. pure and harm free so as to gain technological advancement, the
    trust of customers and increase diversification of products can
    their customer loyalty. be maintained.

    External Threats ST (Stability alternatives) WT(Retrenchment)

    1.Competition from 1.ITC with its excellent 1.Either sell off or discontinue a
    domestic as well as management system can product line which is not
    international players. compete with its competitors by generating profits.
    2.Foreign direct bringing smart advertisement 2.Acquire competitor products
    investment in retail that hits the customers. so as to reduce their competition
    thereby allowing 2.With its extensive and in the market as Johnson &
    international brands. integrated distribution channel, Johnson sold off their SAVLON
    3.Exchage Rate. target to increase its market brand to ITC is a divestitures.
    share in comparison to 3.ITC can buy unbranded
    competitors. products and tap into the rural
    3.Cost of ITC products can be market and also to minimize
    reduced by R&D of the exchange rates.
    company so it will help to tackle
    the difference in exchange rates.

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