SWOT Analysis Case Study: ALDO's Marketing Strategies and Challenges

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Case Study
AI Summary
This case study presents a SWOT analysis of ALDO, a Canadian retailer, examining its strengths, weaknesses, opportunities, and threats within the global market. ALDO's strengths include its diverse product range, extensive experience, and effective inventory system. Weaknesses are identified as limited advertising, poor customer ratings, and high prices. Opportunities lie in the growing Canadian economy and the increasing use of social media for marketing. Threats include intense competition, political factors, and environmental concerns. The analysis concludes that while ALDO faces challenges, it has significant opportunities for international expansion and enhanced marketing strategies. Desklib offers this and other solved assignments to aid students in their studies.
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Management 1
Introduction
In this paper, the discussion is made on the SWOT Analysis that helps to examine the
external and internal factors that affects the environment. This tool helps to determine the
strength, weaknesses, opportunity and threat that are required to evaluate to gain the competitive
advantage in the market. ALDO is a Canadian retailer company that operates the business across
the world (ALDO, 2019).
SWOT Analysis
Strength:
Goods and services: The main strength of ALDO is its goods and services that help to provide
the good customer experience to consumers.
Experience-It has long term experience of operation in the market due to which it can easily
build the trust among consumers to gain the competitive advantage.
Vast Product- The Company selects the vast product in order to satisfy the demand of
consumers. The wide variety of product helps the company to provide the services to large
number of consumers in order to satisfy them at the high level (ALDO, 2019).
Inventory System: Inventory system is also strength of the company as it helps to maintain the
inventory to operate smoothly and effectively.
Weaknesses
Advertising: The presence of the company in the market is not good in terms of advertisement.
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Management 2
Poor Customers: It is observed that the customers rating are also not good as the customer does
not like the services of the company. Customer satisfaction is the main objective of the company
but consumers are getting failed to meet the quality of services due to which it can be said that
the company offers the poor customer services.
Prices: It has been found that the prices of the organization are high than average. The customers
always see the prices before purchasing the goods from the company but when the customers
found the high prices of goods as compare to average. The demands of consumers have been
decreases due to high prices which is also a weakness for the company.
Opportunity
Economy: It has been seen that economy of Canada is highly developed market in terms of
GDP. The demand of online shopping has been increases across the world and the contribution
of this sector is also high in Canadian market (Heritage, 2019). The company has the opportunity
to expand the business in online market from physical supermarket stores.
Social: It is observed that the people of Canada are getting more social through social media. It
is suggested that the company has the opportunity to socialize its goods and services by using
social media. As per the above discussion, it has been found that the company does not advertise
the goods at the large level due to which its social value has been decreases and the demand for
its competitors has been increases. It is an opportunity for the company to expand the business
by using social media. Social Media is the main source to advertise the goods and service in the
market (Statista, 2019).
Threat
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Management 3
Competition: It has been seen that the competition has been increases in retailing industry which
is also biggest threat for the company. Technology is the factor that enhance the lifestyle of
consumers. The competitions among the companies are also enhanced due to developing
technology. Competition is the barrier for the company to achieve the success in the market. The
competition with the company is the main threat for ALDO while operating the business in
Canada market.
Political: As per the above discussion, it is observed that ALDO operates the business in vast
products and services in order to expand the business at the international level or in Canadian
market. The company faces the challenges in term of political decision or in competition. The
government changes the law for different industry due to which it faces the challenges as it offers
the different category of goods to consumers. It is also a threat for the company to expand the
business at the international level with the vast products as the government of different nations
has their own rules and regulation that are required to fulfill in order to enter the market which is
also a threat for the company.
Environment: Environment protection is also a threat for the company as it offers the vast
products due to which its responsibility is to protect the environment. The lot of packaging’s
affects the environment which is required to be take care. The company has a threat to decrease
the demand just because of effective environment decision.
Conclusion
At the end, it is conclude that ALDO faces the challenges in the coming future but it has
the opportunity to expand the business at the international level.
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Management 4
References
ALDO. (2019). Who We Are. Retrieved From: http://www.aldogroup.com/about-us.html
Heritage. (2019). Economic Freedom. Retrieved From:
https://www.heritage.org/index/country/canada
Statista. (2019). E-commerce worldwide - Statistics & Facts. Retrieved From:
https://www.statista.com/topics/871/online-shopping/
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Management 5
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