SWOT matrix
Strength
Internal Factors S1 - High quality
External Factors
Opportunity
O1 – Growing demand in
organic products
O2 – Industry expansions
O3 – Global brand recognition
O4 – More organic products
O5 – Further innovation
Threat
T1 – Dynamic nature of
opportunity industry
T2 – Tricky cash flow
T3 – Cash crunch
T4 – Quick change in consumer
and preferences
Weaknesses
S2 – Wide spread distribution –
International access
S3 – variety of beauty and
cosmetic products
S4 – Endless Research or
Innovation
SO Strategies
S01 – Open a new store and
increase productions to meet
customer demand (S2, O1,O2)
SO2 – Produce more natural
and organic product (S3,O4)
SO3 – Improve product quality
of L’Oreal by collaboration with
another global brand such as
Garnier, Maybelline, Essie, etc
ST strategies
ST1 – Joint venture by separate
geographic profit centres (S2,
T3)
ST2 – Positioning the brand
better through advertisement
and product placement ( S2,
T1)
ST3 – Focus on products
improvements for target group
of teenagers and young women
( S3,T4)
W1 – Too many sub-division
W2 – Severe competition in
cosmetics products
W3 – Decentralised
organisational structure
W4 – Depend on the 3rd party
sales agent
WO Strategies
WO1 – Decentralise by
establishing separate
geographic profit centres
(W1,W2,O3)
WO2 – Distribute high quality
of organic product globally
(W2, W3, O2)
WO3 – Create a social media
platform to attract customers
(W4, O2)
WT Strategies
WT1 – Specialising the
products (W1, T1, T4)
WT2 – make low profit
products obsolete (W3, T2, T4)
WT3 – have long term contract
with distributors (W2, T2)