Are you about writing a bottled water production business plan? If YES, here is a sample SWOT analysis for a bottle water company to help you form a competitive strategy
We are quite aware that there are several bottled water production companies both large and small in the United States of America and Canada which is why we are following the due process of establishing a business so as to compete favorable with them.
A SWOT analysis plays an important role for enterprises when assessing their internal and external environments. It offers information about a business’s present position as well as assists in identifying opportunities for improvement. A SWOT analysis is extremely beneficial to bottled water firms in the United States.
Determining and capitalizing on the company’s positive aspects can boost revenue and earnings. To guarantee success, every bottled water business operating in the US should conduct a SWOT and risk analysis. It enables the firm to pinpoint and manage possible threats while as well understanding its strong points, weak points, potentials, and risks.
Utilizing different evaluations, the business may develop tactical strategies that strengthen their positive aspects, help solve their areas of weakness, take advantage of chances, as well as ameliorate possible threats, resulting in increased competitiveness as well as profitability.
Steps to Conduct SWOT Analysis for a Bottle Water Company
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Table of Content
Determine the Analysis’s Goal and Scope
The very first phase involves establishing the analysis’s goals and scope. The analysis goal is to determine the business’s strong points, weak points, potentials, and vulnerabilities. The analysis’ scope ought to encompass all elements of the company’s activities, such as advertising, revenues, manufacturing, delivery, and funding.
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Obtain Information
The next step is to collect data on the company’s activities. Accounting records, advertising and merchandising statistics, manufacturing and sales information, and testimonials could all be reviewed. The data obtained must be easily quantifiable as well as observational.
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Determine Your Strengths
The third stage is to determine the company’s strong points. Internal variables that provide the business with an edge over its rivals are referred to as strengths. The strengths of a bottled water company might involve a solid reputation, high-quality goods, effective manufacturing techniques, as well as a base of devoted consumers.
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Determine Weaknesses
The fourth step is to pinpoint the company’s flaws. Weaknesses are internal variables that place the business in competitive jeopardy. High manufacturing expenditures, very few distribution networks, a comparatively tiny range of products, or a lack of promotional resources might all be weak points for a bottled water business.
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Recognize Opportunities
The fifth task is to select market opportunities. Opportunities may be external variables that a business can use to expand its operations. Opportunities for a bottled water company might include the increased bottled water demand, the launch of novel offerings, entry into fresh markets, or even the creation of novel distribution networks.
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Identify Potential Threats
The sixth phase involves determining potential threats to the business. Threats are external variables that may have a detrimental effect on business operations. Competitive pressure from other bottled water businesses, shifts in customer desires, modifications to government rules, or recessions could all pose a significant threat to a bottled water company.
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Risk Evaluation
Following the completion of the SWOT analysis, the risks involved with several of the acknowledged strong points, weak points, and potentials are evaluated. This entails determining the probability and possible consequence of the risk on the business operations.
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Create Risk Mitigation Plans
The very last phase involves developing risk management plans to deal with the risks that have been identified. This entails devising strategies to mitigate the probability and the impact severity of the risks on business operations. Broadening the business’s product offering, establishing fresh distribution networks, enhancing manufacturing processes, or incorporating cost-cutting metrics might all be risk management practices.
A Sample SWOT Analysis for a Bottle Water Company
We know that if a proper SWOT analysis is conducted for our business, we will be able to position our business to maximize our strength, leverage on the opportunities that will be available to us, mitigate our risks and be well equipped to confront our threats.
Sparkles® Bottled Water Production Company employed the services of an expert HR and Business Analyst with bias in start – up business to help us conduct a thorough SWOT analysis and to help us create a Business model that will help us achieve our business goals and objectives. This is the summary of the SWOT analysis that was conducted for Sparkles® Bottled Water Production Company;
- Strength:
Part of what is going to count as positives for Sparkles® Bottled Water Production Company is the vast experience of our management team, we have people on board who are highly experienced and understands how to grow business from the scratch to becoming a national phenomenon.
So also, the wide varieties of bottled water in terms of flavor, packaging and size et al that we produce, our large national distribution network and of course our excellent customer service culture will definitely count as a strong strength for the business.
- Weakness:
A major weakness that may count against us is the fact that we are a new bottled water production company and we don’t have the financial capacity to engage in the kind of publicity that we intend giving the business especially when big names like Nestle Foods, The Coca Cola Company and PepsiCo et al are already determining the direction of the market both in the united states and in the global market.
- Opportunities:
The opportunities for bottled water production companies with a wide range of bottled water products are enormous. This is due to the fact that almost all Americans and people from all over the world can afford bottled water and they drink it regularly.
As a result of that, we were able to conduct a thorough market survey and feasibility studies so as to position our business to take advantage of the existing market for bottled water and also to create our own new market. We know that it is going to requires hard work, and we are determine to achieve it.
- Threat:
We are quite aware that just like any other business, one of the major threats that we are likely going to face is economic downturn and unfavorable government policies. It is a fact that economic downturn affects purchasing power.
Another threat that may likely confront us is the arrival of a new bottled water production company in same location where ours is located.
Conclusion
A SWOT analysis and risk analysis are essential for a bottled water company to determine relative strengths and weaknesses, possibilities for improvement, as well as possible dangers that might impact how they operate. Following the steps highlighted in the article, a bottled water company could really carry out an in-depth evaluation of its operational processes and devise risk-mitigation tactics that guarantee long-term progress.