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Philips is a globally renowned company, which is famous for its high class electronics the products not only caters to the personal needs but also to the individual needs. Philips being popular company has also contributed to the global healthcare majorly; it is a worldwide brand with more than 100 years of experiences. Philips is a Dutch conglomeration corporation which was found in the Eindhoven. It was headquartered in Amsterdam; it is one of the largest electronics companies which focused in different areas, like area of technology, health. The company is present in 63 countries and involves in the development and production facilities in the countries like Netherlands, Germany, Finland, Brazil, United States and others. Philips is constantly working towards the innovating, integrating technologies as well as providing innovative designs, solutions, it always focused on the consumer information and their aim is to provide the “sense and simplicity”. Philips was the company which provided solution towards energy efficiency solutions, to areas starting from road lighting for home lighting. It has wide variety, range of products from television, LED, Shavers, washing machines, refrigerators to other various kinds of products which are available worldwide. If you are looking for such relevant case study factor. then take help from Allessaywriter.com's expert.
The main strength of the Philips is that the brand has a great influence, it has its subsidiaries in more than 100 countries, and it also operates in around more than 110 production facilities, the biggest company which accommodates 120,000 employees. Philips is responsible for every single country employment; it has now become a major source of job providers. It also operates in multiple industries which included electronic appliances, personal care to grooming products including heavily sized industrial healthcare equipments. Philips main strength is also the big base of customers and their loyalty towards the brand.
The main weakness suffered by Philips at tomes in the Legal proceedings, or lawsuits of the governments, these unfavourable lawsuits has really harmed the brand image of the company. Another weakness is the high price of the products as compared to other competitors in the market. Philips also suffers through availability of limited stocks and high competitive markets.
The biggest opportunity of the brand is its constant development in innovation, technologies.. The Brand also holds a great opportunity to make its emergence in the online retail and trading around the world, the brand also opens up huge opportunity for various options to grow its own business. Another huge opportunity of the company which lies is the increase in the pricing methods of the brand , if the company slowly acquires the local company it will produce that will reduce the cost massively.
The main threat of the company is that Philips is experiencing rivalries from big multinational companies from around the world, other big competitor s are in the market like Samsung, LG, Sony etc . Other threats which cannot be excluded are the various environmental, governmental regulations imposed on the industries, as well as counterfeit goods due to which the whole consumer electronics industry faces a huge backlash and destroys the image of the brand as well.
· The Company operates in various countries, more than 60 countries. So, the company faces backlashes from the various laid rules of the countries.
· Recently the trade war in between United States and China has negatively impact the revenue of Philips.
· Several Tariffs imposed on the countries also affects the company’s goodwill and revenue target.
· The high rise in unemployment in countries like China and India has benefitted the company as they could hire people at low salary.
· Recently, due to pandemic the loss of revenue has negatively impacted the business of the company.
· The company has always been technologically advanced; their main target is to reach the customer demands with their innovative products.
· Philips has been invented some breakthrough products , for example “Philips Vereos Digital PET/CT system “, “IQon Spectral CT system”, as per the companies tagline “innovation and you” it tries to achieve those needs.
· The major social factor is the change of the people mindset; people are now demanding more LED bulbs than conventional bulbs.
· The factors of customer needs are working out differently, as the company focuses much more reaching more than expectation. Thus, company has come up with products like Colour changing LED lamps, wireless bulbs or smart bulbs.
· The company abides with the law in which it decides to expand it business and the country which it operates.
· The company has already faced with legal issues in the healthcare sectors where 3623 complaints have been holded against the machines of imaging services.
· The factors like increase awareness towards the climate changes, thus the company has been responsible in providing sustainable products and services.
· This led the company to inaugurate “World Sustainability All starts list” that was published by Fortune; it has set its mission to go with no-carbon related products with 100% renewable energy by 2020.
Philips has been the leading firms in the manufacturing of the electronic supplies, after analysis the strength, weakness, opportunity as well as threat of the company it can be figure out that entry of new entrants has threaten he market majorly, limited the market share as well. Another limitation is that both the strength and weakness of the brand overlaps for example a large number of outlets can act as a strength or weakness if the economy is going through recession. The company should invest more / focus on the daily changing demand of the consumers , so that the consumers don’t believe the brand and prefer other and it can achieved with proper surveys, feedbacks session. Moreover, the company must also contribute in the various types of sales promotion, advertising to increase the sales of the company, it can also focus much more the technological developments, like manufacturing better quality products in a reduce cost, technology will help in better data collection and improved marketing efforts. Usage of strong financial position can also help the company to compete in the high rivalry market, offering discounts will also make the company increase sales, maintain the low inflation cost.
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