SWOT Analysis

  Strengths Weaknesses
Internal -Popularity -Word of mouth
-well known -lack of popularity of many f&n ’s
-branding obvious and easily brands
recognized -Most unknown and rarely seen
-A lot of finance -result of low profile or non-existent
-customer loyalty advertising
-International Trade -health issues
 
  Threats Opportunities
Externa -changing health-consciousness -many successful brands to pursue
l attitude -advertise its less popular products
-legal issues -buy out competition.
-Health ministers -More Brand recognition
-competition
 
 
Strengths- F&N is an extremely recognizable company. Popularity is one of its superior
strengths that is virtually incomparable. F&N is known very well worldwide. It's branding
is obvious and easily recognized. Things like, logos and promos shown on t-shirts, hats,
and collectible memorabilia. Without a doubt, no beverage company compares to F&N's
social popularity status. Some people buy F&N, not only because of its taste, but
because it is widely accepted and they feel like they are part of something so big and
unifying. At the other end of the spectrum, certain individuals choose not to drink coke,
based solely on rebelling from the world's idea that coke is something of such great
power. Overwhelming is the best word to describe F&N's popularity. It is scary to think
that its popularity has been constantly growing over the years and the possibility that
there is still room to grow. If you speak the words “F&N”, it would definitely be
recognized all around the world. Money is another thing that is a strength of the
company. F&N deals with massive amounts of money all year. Like all businesses, they
have had their ups and downs financially, but they have done well in this compartment
and will continue to do well and improve. The money they are earning is substantially
better than most beverage companies, and with that money, they put back into their own
company so that they can improve. Another strength that is very important to F&N is
customer loyalty. The 80/20 rule comes into effect in this situation. Eighty percent of their
profit comes from 20% of their loyal customers. Many people/families are extremely loyal
to F&N. It would not be rare to constantly find bottles and cases of a product such as
F&N drinks in a house. It seems that some people would drink F&N religiously like some
people would drink water and milk. This is an improbable feat. Customers will continually
purchase these products, and will probably do so for a very long time. If two parents
were avid F&N drinkers, this will be passed down do their children as they grow loyal to
the company. With F&N’s ability to sell their product all over the world, customers will
continue to buy what they know and what they like…F&N products.
 
Weaknesses- F&N is a very successful company, with limited weaknesses. However
they do have a variety of weaknesses that need to be addressed if they want to rise to
the next level. Word of mouth is probably a strength and weakness of every company.
While many people have good things to say, there are many individuals who are against
F&N a company, and the products in which they produce. Word of mouth unfortunately
is something that is very hard to control. While people will have their opinions, you have
to try to sway their negative views. If bad comments and views are put out to people who
have yet to try F&N products, then that could produce a lost customer which shows why
word of mouth is a weakness. Another aspect that could be viewed as a weakness is the
lack of popularity of many of F&N’s drinks. Many drinks that they produce are extremely
popular such as Coke and Sprite but this company has approximately 400 different drink
types. Most are unknown and rarely seen for available purchase. These drinks do not
probably taste bad, but are rather a result of low profile or non existent advertising. This
is a weakness that needs to be looked at when analyzing their company. Another
weakness that has been greatly publicized is the health issues that surround some of
their products. It is known that a popular product like coke is not very beneficial to your
body and your health. With today’s constant shift to health products, some products
could possibly loose customers. This new focus on weight and health could be a
problem for the product that are labeled detrimental to you health.
 
Opportunities- F&N has a few opportunities in its business. It has many successful
brands that it should continue to exploit and pursue. F&N also has the opportunity to
advertise its less popular products. With a large income it has the available money to put
some of these other beverages on the market. This could be very beneficial to the
company if they could start selling these other products to the same extent that they do
with their main products. Another opportunity that we have seen being put to use before
is the ability for F&N to buy out their competition. This opportunity rarely presents itself in
the world of business. However, with F&N’s power and success, such a task is not
impossible. F&N has bought out a countless number of drink brands. An easy way to
turn their profit into your profit is too buy out their company. Even though this may cost a
vast amount of money initially, in the long run, if all goes to plan, it results in a large
profit. Also, the company will no longer need to worry about this product being part of the
competition. Brand recognition is the significant factor affecting Cokes competitive
position. F&N is known well throughout 90% of the world population today. Now F&N
wants to get there brand name known even better and possibly get closer and closer to
100%. It is an opportunity that most companies will ever dream of, and would be a
supreme accomplishment. F&N has an opportunity to continue to widen the gap
between them and their competitors.
 
Threats- Despite the fact that F&N dominates its market, it still has to deal with many
threat. This definitely needs to be viewed as a dominant threat. In today’s world, people
are constantly trying to change their eating and drinking habits. This could directly affect
the sale of F&N’s products. Another possible issue is the legal side of things. There are
always issues with a company of such supreme wealth and popularity. Somebody is
always trying to find fault with the best and take them down. F&N has to be careful with
lawsuits. Health minister could also be looked at as a threat. Again, some people may try
to exploit the unhealthy side of F&N’s products and could threaten the status and
success of sales. Other threats are of course the competition. . Other product such as
juices, coffee, and milk are threats. These other beverage options could take precedent
in some people’s minds over F&N’s beverages and this could threaten the potential
success it presents again.