This presentation discusses the entrepreneurial strategy of Hey Habito Ltd., a online mortgage broker. It includes a SWOT analysis, PESTEL analysis, and Porter's five force model.
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Entrepreneurial Strategy
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Table of Content •Introduction •SWOT analysis •PESTEL analysis •Porter's five force model •Conclusion •References
Introduction Entrepreneurial strategy is the way through which an corporation or organizationestablishesandre-establishitsfundamentalsetof relationships with the environment. The report is based onHey Habito Ltd., Which is a online mortgage broker. In this report the SWOT analysis, PESTEL analysis and porters five force model is done in the respect of Hey Habito Ltd.
SWOT analysis Followings are the various strengths, weakness, threats and opportunity regardingHey Habito Ltd. : •Strengths:The foremost strength of the organization is that it provides a very wide platform for online mortgage and remortgage services.
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Cont... •Weakness:TheheyhabitoLtd.havelessglobalpresenceas compared top other leading organizations. •Opportunity:The company have great opportunity regarding the buy back of shares and expansion within in the country and outside the company. •Threats:The most probable threat for the company is high degree competition in the country.
PESTEL analysis Followings are the factors which helps in environment analysis of the organization: •Political factors:New percentage of surcharge imposed by UK Govt. is a biggest political impact for the organization's profitability. •Economical factors:The Brexit forced the financial institutions and banks for a lower interest rates which hampers their profitability.
Cont... •Social factors:Ageing population in UK market may mean a shift toward savings so that it also impacts on the mortgage services. •Technologicalfactors:Thetoday'smoderntechnologyalso hampers the organization in the form of block chain technology, robotic automations, etc. because these are the both opportunity and threats to respective organization.
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Cont... •Environmental factors:Transition to a low carbon and resources- efficient future is underway affecting organization. •Legal factors:The legal factors also effect the organization because legislation related to the financial transaction effect the services of respective company such as in form of mis selling of mortgage bonds may results in legal claim.
Porter's five force model Porter'sfiveforcesmodelisbasicallyusestoanalysingindustry attractiveness properly. Key aspects of this model are given below as: •Threats of New Entrants:There are various threats related to the newentrantsfortheorganizationsuchasinnovativeideasin mortgage services, new ways of doing things, etc.. which putts the pressure on the organization to maintain its competitive edge.
Cont... •Bargainingpowerofsuppliers:Thepowerfulsuppliersin money/financial market use their power to negotiate prices. Which will harm the profitability position of organization. •Bargaining powers of Buyers:buyers always want to buy the best things at minimum prices which harms the organizations services and its profitability as well.
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Cont... •Threats of substitute products or services:the organization also suffers from the introduction of new products and substitutes in the market. •Rivalry among the existing customers:the rivalry among the existing competitors drive down the prices down whicheffect the all over industry as well organization also.
Conclusion At the end of the report it can be concluded that the Hypto Habito Ltd. is online mortgage broker and also facing various internal and external challenges. These various challenges are explained with the help of SWOT analysis, PESTEL analysis, Porters five force model. It can be say that the organization haveneed to implement various strategies after analysing explained models.
References Johnson,S.andVandeVen,A.H.,2017.Aframeworkfor entrepreneurial strategy. Strategic entrepreneurship: Creating a new mindset, pp.66-85. Karami,A.,2016.Strategyformulationinentrepreneurialfirms. Routledge. Online Thefreeonlinemortgagebroker.2019.[Online].Available through<https://www.habito.com/>.
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