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Bon Star Hotel Case SWOT Analysis

Case Study Solution And Analysis


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Bon Star Hotel Case Study Solution

The internal analysis and external of the company likewise can be done through SWOT Analysis, summed up in the Exhibit F.

Strengths

• Bon Star Hotel has an experience of about 140 years, enabling business to better carry out, in different circumstances.
• Nestlé's has existence in about 86 countries, making it an international leader in Food and Drink Industry.
• Bon Star Hotel has more than 2000 brand names, which increase the circle of its target customers. These brands consist of baby foods, family pet food, confectionary products, drinks and so on. Famous brand names of Bon Star Hotel consist of; Maggi, Kit-Kat, Nescafe, etc.
• Bon Star Hotel has big amount of costs on R&D as compare to its rivals, making the company to launch more innovative and nutritious items. This development provides the business a high competitive position in long term.
• After adopting its NHW Technique, the business has done large quantity of mergers and acquisitions which increase the sales growth and enhance market position of Bon Star Hotel.
• Bon Star Hotel is a popular brand name with high customer's commitment and brand recall. This brand name loyalty of consumers increases the opportunities of easy market adoption of different new brands of Bon Star Hotel.

Weaknesses

• Acquisitions of those business, like; Kraft frozen Pizza company can provide an unfavorable signal to Bon Star Hotel consumers about their compromise over their core competency of healthier foods.
• The growth I sales as compare to the company's financial investment in NHW Strategy are rather different. It will take long to alter the perception of people ab out Bon Star Hotel as a company selling healthy and nutritious products.

Opportunities

• Introducing more health related items makes it possible for the company to catch the marketplace in which customers are rather conscious about health.
• Developing countries like India and China has biggest markets worldwide. Hence expanding the market towards developing countries can enhance the Bon Star Hotel business by increasing sales volume.
• Continue acquisitions and joint endeavors increases the market share of the company.
• Increased relationships with schools, hotel chains, dining establishments etc. can also increase the number of Bon Star Hotel consumers. For instance, teachers can advise their students to acquire Bon Star Hotel items.

Threats

• Financial instability in nations, which are the possible markets for Bon Star Hotel, can create numerous concerns for Bon Star Hotel.
• Shifting of products from normal to healthier, leads to additional expenses and can result in decrease business's revenue margins.
• As Bon Star Hotel has a complicated supply chain, for that reason failure of any of the level of supply chain can lead the company to deal with particular problems.

Exhibit F: SWOT Analysis