GROUPON CASE STUDY SWOT

Strengths Weaknesses Opportunities Threats. Weakness are the areas where Groupon can improve upon. In the short term SWOT is an effective tool to improve business processes, part of business, or both together. Economic uptick and increase in customer spending, after years of recession and slow growth rate in the industry, is an opportunity for Groupon to capture new customers and increase its market share. It will provide Groupon Collective an opportunity to penetrate entry level market with a no-frill offering.

Send your data or let us do the research. Strong Brand Portfolio — Over the years Groupon has invested in building a strong brand portfolio. SWOT analysis is one of the most widely used tools for strategic analysis. They are just awesome. This can impact the long term growth of Groupon Not highly successful at integrating firms with different work culture.

In such a scenario Groupon has to carefully analyze the various trends within the Services sector and figure out what it needs to do to drive future growth. To manage these competitive challenges and macro environment trends leaders at Groupon can use SWOT to pinpoint specific threats and allocate requisite resources to deal with those threats.

Threats are factors that can be potential dangers to the firm’s business models because of changes in macro economic factors and changing consumer perceptions. It will enable the firm to maintain its loyal customers with great service and lure new customers through other value oriented propositions. Williamson, Markets and Hierarchies New York: Limitation of Weighted SWOT analysis of Groupon This approach also suffers from one major drawback – it focus on individual importance of factor rather than how they are collectively important and impact the business holistically.

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Groupon SWOT Analysis, Competitors & USP

It has also helped the organization to diversify revenue streams. Chandler, Strategy and Structure Cambridge, Mass.: Opening up of new markets because of government agreement — the adoption of new technology standard and government free trade agreement has provided Groupon an opportunity to enter a new emerging market. SWOT does not show how to achieve a competitive advantage, so it must not be an end in itself. Highly successful at Go To Market strategies for its products. Given the large customer base, Groupon Collective can’t respond quickly to the needs of the niche markets that disruptors are focusing on.

Often leaders neglect trends in macro environment because of the narrow focus on the industry. This can lead to higher profits in the short run for Groupon Collective but reducing margins over the long run as young people are less brand loyal and more open to experimentation.

It will provide Groupon an opportunity to penetrate entry level market with a no-frill offering. Decision makers have to be certain if the weakness is present because of lack of strategic planning or as a result of strategic choice.

Analyzing the macro trends from not only Services industry perspective but from a more holistic perspective.

Solved SWOT: Groupon SWOT Analysis / Matrix

MIT Press, L. What are the major elements of SWOT analysis?

groupon case study swot

WilliamsonMarkets and Hierarchies New York: Groupon Collective can divide these four elements into two broad categories – Internal Factors and External Factors. There are interrelationships among the key internal and external factors that SWOT does not reveal that may be important in devising strategies.

groupon case study swot

New environment regulations under Paris agreement could be a threat to certain existing product categories. Decision makers in the case study Groupon can also use SWOT analysis to understand how key strengths can be extended either to adjacent areas or new industries all together.

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What are the major elements of SWOT analysis? Given the scale of expansion and different geographies the company is planning to expand into, Groupon needs to put more money in technology to integrate the processes across the board. Caes is SWOT analysis?

Groupon SWOT Analysis / Matrix

What SWOT analysis explains? Try to substantiate the strengths, weaknesses as objectively as possible in terms of what the Groupon Collective does, how it does it, and where are there scope of improvements. This can swor to a time based SWOT analysis exercise where Groupon leaders conduct SWOT at a fixed interval and assess what it needs to csse to achieve the stated goals.

It will provide better clues regarding where customers are going and what trends Groupon can leverage.

Certain capabilities or factors of an organization can stjdy both a strength and weakness at the same time. It has also helped the organization to diversify revenue streams.

groupon case study swot

The collective buying industry has grown by leaps and bounds over the past several years, and Groupon stands out as a major player that has revolutionized this market. The brand names and other brand information used in the BrandGuide section are properties of their respective companies.