Wendys Swot Analysis

1059 Words5 Pages
PART 1

SWOT Analysis for Wendy's International Inc
Using SWOT analysis, it's possible to analyze a case study for identifying points of internal strengths and weaknesses in any given organization, as well as the external opportunities and threats facing this organization (Donohue, Adinolfi and Shrestha, 2009). In this short essay, the SWOT analysis framework is applied to the case about Wendy's International Inc.
To start with internal strengths of Wendy's International Inc., as can be detected from the case, include: big brand name in fast food industry; high revenues and faster growth rate compared to competition; strong presence in 33 markets worldwide, with more than 9000 stores; high variety of menu, with special items not found on competitors'
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On the other hand, in the external working environment, Wendy's International Inc. has the following opportunities: available options for small acquisitions which supported the company's international expansion; the great passion for fast-food during the last decades; and globalization which has allowed more options to entering new markets.
Whereas, in the external working environment, Wendy's International Inc. faces the following threats: tough competition in the market with big brands like McDonald's and Burger King; the fast-food industry is rapidly growing and changing in customers' preferences; repetition of competitive advantages like "value menu" and "healthy alternatives" by competitors; and competitors' new selling techniques like the drive-through windows approach developed by Burger King in the
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Ford presents one of the most striking examples in applying the vertical integration strategy, which has been developed since the 1920s, and which has been copied ever since by several companies, especially those working in the auto-making industry. In explaining the causes behind Ford's use of the vertical integration approach, it's important to note that the purpose was basically to save costs of production and to compensate for the rarity of suppliers for raw materials necessary for the company's manufacturing operations. As a result the company decided to control its whole supply chain, whether backward by controlling supplies of raw materials, or forward by controlling distribution of products to final consumers. Accordingly in the 1920s, Ford added to their scope new entities that are supportive to their auto-making operations including, "coal and iron ore mines, timberlands, rubber plantations, a railroad, freighters, sawmills, blast furnaces, a glassworks, and more" (The Economist, May 27th 2009). All these new units constituted parts of the company's huge factory located in River

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