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COMPETITIVE PROFILE MATRIX

MANG INASAL PENONGS Alfredo's Grill


WEIGHTED WEIGHTED WEIGHTED
CRITICAL SUCCESS FACTOR WEIGHT SCORE SCORE SCORE SCORE SCORE SCORE

PRICE COMPETITIVENESS 0.3 4 1.2 2 0.6 4 1.2


ADVERTISING 0.2 4 0.8 1 1
MARKET SHARE 0.1 4 0.4 3 0.3 3 0.3
BRAND IMAGE 0.1 3 0.3 4 0.4 3 0.3
PRODUCT VARIETY 0.05 2 0.1 4 0.2 2 0.1
SERVICE QUALITY 0.05 3 0.15 4 0.2 2 0.1
ACCESSIBILITY 0.15 4 0.6 4 0.6 3 0.45
PRODUCT QUALITY 0.05 4 0.2 4 0.2 3 0.15
TOTAL 1 3.75 2.5 2.6
Strategic Position and Action Evaluation (SPACE) Matrix
Internal Strategic Position
Financial Strength Rating
High Assets Turn-over 3 Average Score:
Liquidity 6 FS&ES CA&IS
Net Revenue 5 4.67 -1.5
Total 4.67 -3 4.33
Industry Strength Rating 1.67 2.83
Growth Potential 5
Profit Potential 5
Resource Utilization 3
Total 4.33
External Strategic Position
Competitive Advantage
Advertising -1
Market Share -1

Brand Image -2
Product and Service Quality -2
Total -1.5
Environmental Stability
Price range of competing -3
products
Barriers to entry into market -5
Technological Changes -1
Total -3
GE Matrix
MANG INASAL
4
Industry Atractiveness

1
1 2 3 4
Business Strength/Competitive Position
GRAND STRATEGY MATRIX
RAPID MARKET GROWTH
Quadrant II Quadrant I

1. Market Development 1. Market Development


2. Market Penetration 2. Market Penetration
3. Product Development 3. Product Development
4. Horizontal Integration 4. Forward Integration
5. Divestiture Liquidation 5. Backward Integration
6. Horizontal Integration
7. Related Diversification

WEAK STRONG
COMPETITIVE COMPETITIVE
POSITION POSITION

1. Retrenchment 1. Related Diversification


2. Related Diversification 2. Unrelated Diversification
3. Unrelated Diversification 3. Joint Venture
4. Divestiture Liquidation

Quadrant III Quadrant IV


SLOW MARKET GROWTH
+
Strategic Alternatives
Market Market Product
Pentration Development Development
Internal Factors Weight AS TAS AS TAS AS TAS
Strengths
Fast growing company 0.1 4 0.4 3 0.3 4 0.4
Adaptability to dynamic market 0.07 4 0.28 1 0.07 4 0.28
Locally adapted food menu 0.07 2 0.14 4 0.28 3 0.21
Large target market 0.1 4 0.4 4 0.4 2 0.2
Well established reputation 0.12 4 0.48 3 0.36 2 0.24
High customer satisfaction 0.1 3 0.3 3 0.3 4 0.4
Weaknesses
Low product diversification 0.15 3 0.45 3 0.45 4 0.6
Limited space 0.11 4 0.44 4 0.44 1 0.11
Poor technological advances 0.07 2 0.14 2 0.14 1 0.07
High employee turnover 0.1 1 0.1 1 0.1 2 0.2
Slow service 0.08 2 0.16 3 0.24 1 0.08
External Factors 1
Opportunities
Expansion in local or international 0.13 3 0.39 2 0.26 2 0.26
market
Promoting its brand through
advertisement 0.1 4 0.4 3 0.3 4 0.4
Technological advances 0.06 2 0.12 3 0.18 2 0.12
Innovation in product range 0.11 4 0.44 4 0.44 4 0.44
High exposure location 0.1 4 0.4 2 0.2 2 0.2
Threats
Changing customer taste 0.15 3 0.45 2 0.3 2 0.3
Aggressive competitors 0.1 4 0.4 4 0.4 3 0.3
Trend towards healthy eating 0.02 3 0.06 0 0 1 0.02
Similar concepts and services (e.g. 0.08 4 0.32 4 0.32 1 0.08
unli rice)
Higher cost in acquiring advance 0.05 3 0.15 2 0.1 2 0.1
technology
Low customer retention 0.1 2 0.2 3 0.3 1 0.1
Sum Total Atractiveness 1 6.62 > 5.88 4.9
1 not acceptable
2 possibly acceptable
3 probably acceptable
4 most acceptable
0 not relevant
Strategy Based on the Analysis
Mang Inasal falls under the quadrant one of the grand strategy matrix. Under this
quadrant, market development, market penetration, product development and related
diversification are available for business. However, Mang Inasal cannot adapt horizontal
integration for they are bought by its competitor Jollibee Food Corporation. Forward
Integration is not also available since Mang Inasal don’t offer merchandise that can be
directly sold. Lastly, Backward Integration will not be appropriate since Mang Inasal has
different suppliers.
____________________________________________________

The most common options are Market Penetration and Product Development. For the
third strategy, Market Development and Related Diversification got the same total.
However, market development strategy will suit the company better.
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1. Market Development Strategies


Branch out stores in Mindanao specifically in urbanized cities
2. Market Penetration Strategies
a. S1-O1 Hire new product endorsers
b. S1-O5 Increase brand visibility by taking advantage of advertising on mass
transportation systems
c. S1-T1-T5 Intensify social media marketing
3. Product Development
Conduct research through mobile and online surveys
Build a smooth communication channel for faster distribution of products from the
supplier to the branches

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