Spartan Building Products - Analysis and Recommendations
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Added on 2023/06/03
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This report analyzes the relevance of Spartan Building Products solution, factors affecting the company, and provides recommendations. It includes SWOT and PESTEL analysis.
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Running Head: SPARTAN BUILDING PRODUCTS1 Spartan Building Products Student’s Name Institutional Affiliation
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SPARTAN BUILDING PRODUCTS2 Q1. What is the relevance of Spartan Building Products solution? The Spartan Building Products company focuses on the supply of construction material in Montreal, Canada. The company faces additional costs on the facilities required to enable the success of the organization. Additionally, the company experiences operational strains in the products and market segments as a result of the customers’ desires and competition within the market. The report on these problems indicated that the need to improve the management would result in the improvement of product supply to its branches and business partners. Furthermore, the adjustment of prices to suit the customers’ economy and transportation of the products would ease the process of expanding the customer base. Q2. What other factors affect the company? SWOT Analysis SWOT analysis is an effective method to analyze the company process to determine the significant characteristics. The strength of the company lies in its skilled employees who run the day to today business. Moreover, it has efficient management that increased the broader number of building materials leading to $8.8 million profit before tax (Fleisher & Bensoussan, 2015). Additionally, Spartan has a strong brand portfolio, which is useful in case the company wants to expand in emerging products. In contrast, its weaknesses lie in the distribution of the products. As such, the company lacks its transportation truck fleet while the shipment cost increases due to the laws governing the major shipment regions. It requires technological advancement, which is useful in the globalization of the products (Johnson, 2015). Spartan has an opportunity as its one of the biggest company in Canada with half of the building products supplied domestically. Moreover, new technologies serve as a development platform for the industry. China serves as a threat as its supplies the same products in the region.
SPARTAN BUILDING PRODUCTS3 PESTEL Analysis Political factors play a significant role in defining factors that can affect the management of Spartan. Spartan can look at some of the political factors that can influence its performance in another market such as a contract agreement with the allied products, tax rate, and trade laws in the pricing factor. Additionally, Spartan should look at the economic factors of the target market such as the stability of currency in that market, unemployment rates, and economic growth rate. Social factors to be considered include gender roles, the power structure of the society and the skill level. Spartan should consider the technological speed and its effect on the market. These factors include the impact of technology on the product, technological advancement, and special fusion rate. Environmental factors include air population, weather, climate change, and environmental pollution laws, such as copyright, discrimination, data protection, employment laws. Recommendations The management should buy their transportation truck fleet, as this will help in the overall transportation cost. Additionally, Negotiate on the freight charges on the shipment regions. Lastly, Increase the volume of the shipment products. Assumptions 1.There is importance in understanding the needs of the customer. 2.Social media platforms increases the overall profit of the company. 3.Equality of all the consumers. 4.Loyalty leads to profit
SPARTAN BUILDING PRODUCTS4 References Fleisher, C. S., & Bensoussan, B. E. (2015).Business and competitive analysis: effective application of new and classic methods. FT Press. Johnson, F, P., (2015). Spartan building products. Ivey Publishing.