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SWOT ANALYSIS

SWOT ANALYSIS

Discuss SWOT ANALYSIS within the Entrepreneurship / Intrapreneurship forums, part of the Resolve Your Query - Get Help and discuss Projects category; SWOT ANALYSIS Strength : * Alkyl’s major strengths are mutual trust and transparency at all levels by consciously sharing information ...

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SWOT ANALYSIS
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Sunanda K. Chavan
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sunandaC
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SWOT ANALYSIS - September 15th, 2010

SWOT ANALYSIS


Strength:

* Alkyl’s major strengths are mutual trust and transparency at all levels by consciously sharing information about the company and its operations.

Such information is shared through formal meetings and also through our house magazine 'Alkyl Era'.

* The company’s strengths in engineering technology, R&D, and project management allow it to provide a customised service that is unparalleled in quality and value.

It has successfully served clients having special needs concerning intellectual property, confidentiality and the environment.

* AACL’s plant at Patalganga is one of India’s largest chemical industrial Parks, which has the infrastructure necessary to manage the thousands of tonnes of product manufactured every year.

* The proximity of Patalganga plant to Mumbai and its ports and the customer in the region makes Patalganga an ideal site of key materials.

* The Company can assist at every step in bringing a new product to market.

By performing R&D services to commercially producing and marketing the product, it offers an end-to-end solution that is cost effective, efficient and rewarding.

* The Alkyl Global Supplier Network provides existing and potential suppliers around the world, an opportunity to interface electronically with Alkyl.


Weakness:

* Alkyl is not backward integrated for the manufacturing of the basic raw materials used to produce their finished products.

* The company is highly dependent on its suppliers for the basic raw materials.


Opportunity:

* The company can increase its customer base by increasing the range of products offered.

* The company can opt for backward integration, so that it does not have to depend on suppliers for basic raw materials.

*The company also has a scope of opting for forward integration, so that it can sell its products directly into the market.

*Alkyl’s recent foray into Speciality chemicals will result in a higher value addition of the company.

*Alkyl has the scope of exploring new markets.

* The recent implementation of SAP technology will help the company earn huge profit as they will be able to provide better quality service to their customers.


Threats:

* The import substitutes from China and other countries is a threat for the company.

* AKCL is dependent on crude base raw material which is highly volatile.

* Rupee Appreciation is a possible threat for the company as 30-50% (approx.) of its products is exported.

* Increase in percentage of ethanol in fuel blending is one of the threats as it puts pressure on prices of ethanol and this in turn increases the cost of production.

*There is a possibility that certain Agro based molecules may be banned in Europe and USA due to the effect on environment.

This will impact the sales adversely.
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