SWOT ANALYSIS OF MDC inc
The overall evaluation of a company's Strength, Weakness, Opportunities and Threats is
called SWOT analysis. SWOT Analysis is an important planning that helps a person or
organization to identify and understand its internal strength and weakness. It also
matches these strengths /weaknesses with the opportunities/threats in the
environment which are external .New businesses should use a SWOT analysis as a part
of their planning process. There is no “one for all” plan for MDC inc, and thinking about
our new business in terms of its unique “SWOTs'' will put us on the right track right
away, and will fit us in new environment
Here are some findings in our SWOT analysis
Strength: Weakness :
Strong economy Excessive red tape
Quality of product Endorsement
Opportunity: Threat:
premier pricing
Expanding market Established competitors
Government assistance Government
While analyzing the strength of MDC inc we found out that 'strong economy' is the first
of them.According to world bank only 5.6% people are unemployed in
Australia.Australia has a strong economy with approximately 1.43 trillion USD as GDP
which has added a sufficient amount of disposable income to their people and
eventually strong buying power(Worldbank,2018). MDC inc is also concerned about the
‘quality of the product’. We ensure the satisfaction of every customer by providing high
quality products which are clinically certified and 100 % effective for skin care.we have
country wise hotline number and online base complaint service for the customer .we
are responsive 24/7.
While looking for the weaknesses we found out that MDC inc might face the 'excessive
red tape' problem in general as in Australia,they maintain excessive red tape for new
comer companies such as they will look for the investment for the business,where is it
coming from? like banks, venture capital, personal savings, personal loans etc,Whether
is it legal or illegal.Then submit the name and the policy of the company and get it
accepted by the Australian Securities and Investments Commission (ASIC) then have to
apply for Australian Business Number (ABN) and it will need its own Tax File Number
(TFN) from the Australian Tax Office (ATO) too , then you need to open an Australian
business account .After all the legal procedure and investigation we can start our
operation in that country (Quickbook,2017).'Endorsement' for MDC inc s product has
been done through online advertisement .It has not gone for tv commercial or brand
ambassador yet.However using a strong face as a brand ambassador could have been
propagate the product to local market in a short time.For instance bollywood actress
Deepika Padukone is the global brand ambassador of L’Oreal Paris(Patel,2017). Caitlyn
Jenner is the latest brand ambassador of MAC cosmetics who is a famous hollywood
actress(Doyle,2018).
The opportunities for MDC inc is first of all 'expanding market'.Country's efficiency in
business sector and people's concern about skin care boost our interest in expanding
the market.MDC inc wants to start its operation in Sydney at first because it is the most
populated state in Australia.While operating in Sydney MDC inc will analyze other states
and will be able to find out which product is more preferred in which state,By doing this
they can expand their market all over Australia.'Premier price' will play a vital role to
the opportunities of MDC inc.We can set a standard price which will add value to the
product.Affordable price will help MDC inc to make a rapid growth in their
revenue.'Government assistance" is there so that company can grow faster to make the
economic growth,being an international brand MDC inc will make a FDI (foriegn direct
investment) in Australia which is an advantage in any country's economy and also it will
create job opportunities for the local people.
Threats that MDC inc has is 'established competitor' Because a lot of big names like
L’Oreal ,MAC in this industry has been already doing well over the years and there is a
chance for other companies to enter in this market because of booming
industry.Whereas other existing companies want to make their existence stronger in
their territory that's why MDC inc might face a threat there and the second threat is
'government' which is very common to every business. This represents the change of
government and also the change of policies in doing business.Though Australia has a
very stable political environment and very lenient to business but government has the
authorization to make any change in both public and private company which could be a
threat to any company at any moment.
References (APA)
Quickbooks,(2017).Checklist:how to start a new business in Australia.Retrieved from
https://quickbooks.intuit.com/au/resources/starting-a-new-business/checklist-start-
business-australia/
Doyle,E.M.(2018).women leading brand.Retrieved from https://www.bandt.com.au/caitlyn-
jenner-is-mac-cosmetics-latest-brand-ambassador/
Patel,D. (2017).scoophoop entertainment.Retrieved from
https://www.scoopwhoop.com/deepika-padukone-is-the-new-global-brand-ambassador-of-
loreal-paris/
The world bank (2018).County Australia data.Retrieved from
https://data.worldbank.org/country/australia
