SWOT Analysis is a basic model that assesses the business environment of an individual firm. This tool identifies the strengths, weaknesses, opportunities and threats of an organization. An overview of the four factors in this case study is given below 1.Strengths
•Jamba Juice is a well-known company and this company grew rapidly to become a top brand in the industry. •This organization has a unique company culture.
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•Jamba has several strong competitors with similar health and fitness focus. •Competitors exceed Jamba Juice revenues and sales.
•Jamba Juice is not popular during winter and in the northern states. 3.Opportunities
•Jamba Juice has a huge opportunity to get in the heads of health conscious consumers. •Jamba Juice has lots of chances to increase the merchandising. •Jamba Juice has opportunities to partner with many organizations such as gyms and schools. 4.Threats
•The worsening economy makes customers don’t want to purchase as much as they used to. •Easy market entry leads to excess competitions such as Stabucks, MaDonalds and other fast food restaurants.
Five-Forces model describes the competitive environment these terms of five basic competitive forces 1.New entrants
•It is easy to get into this market because everyone can build stores and it does not require extensive principal to entry the industry. •The barriers that new entrants have to face are the strong product differentiation and customer loyalty of the current industry leaders. 2.Suppliers
•The switching costs are low because it easy for Jamba Juice to change company of suppliers. •The franchises of Jamba Juice buy products from a
different supplier so they do not depend on one supplier. 3.Buyers
•Consumers have many choices of the smoothie options throughout their communities. •Jamba Juice provides fast food for a healthy lifestyle so consumers get the products base on their convenience. 4.Substitutes
•Customers can choose a substitute over Jamba Juice’s smoothies easily because Jamba Juice doesn’t have much differentiation from substitutes. 5.Rivalry
•Jamba Juice has many competitors because there are lots of restaurants that sell smoothies and healthy food. •Many competitors in the same industry as Jamba Juice hold a larger part of the industry so Jamba Juice has to work hard to move ahead of the competition.
Remember. This is just a sample.
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