thening the analysis of the strategic alternatives available to the MEM Company. The SWOT analysis is as follows:
a. The company has never discontinued a product line. This factor is a strength because consumers know that they will always be able to obtain a product they prefer. This factor is also a weakness, however, when a product line is a money loser.
b. The company distributes products in all three industry price segments.
c. Consumer recognition of MEM products are high in relation to advertising expenditures. Competitors expend far more on advertising. d. The company's English Leather brand is the highest selling line in most major department store chains.
a. Three fifths of the company's sales are provided by six products marketed under the same brand name English Leather. This approach makes it difficult for the company to move more heavily into other price segments of the market.
b. Three eights of the English Leather sales are in the form of gift sets. Gift set sales are concentrated around holiday periods. This situation infers that English Leather products are not bought by consumers for personal, everyday use to the extent that this purchasing behavior applied to some competing products.
c. The company have never discontinued a product line. This factor is a weakness when a product line is a money loser. This factor, however, is also a strength in that consumers known that the MEM Company can be relied upon to continue to serve the markets the company develops.
d. Marketing research for new products at the company is ineffective. Seat of the pants decisions are made by company managers in relation to new product introductions.
e. Product line breadth and production capacity limitations impinge on manufacturing efficiency.
f. Packaging processes at the company are labor intensive.
g. Distribution of MEM products is oriented heavily toward department stores. 3. Opportun...