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Solution Assignment No # 1 MGT603 MC190202823 External Factors Evaluation

This document analyzes the external factors, internal factors, and critical success factors of Katan, Zara's Designs, and HSU Designs. Based on the analysis, Katan scored the lowest on the external factors evaluation, internal factors evaluation, and critical success factors matrix. While Katan has strengths in customer loyalty and brick-and-mortar market share, it is weakest in online retail market share, e-commerce, and overall financial position. The analysis suggests Katan needs to capitalize on its brand image and customer loyalty while expanding into online shopping and e-commerce to survive in the competitive market.

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Muhammad Asif
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78 views3 pages

Solution Assignment No # 1 MGT603 MC190202823 External Factors Evaluation

This document analyzes the external factors, internal factors, and critical success factors of Katan, Zara's Designs, and HSU Designs. Based on the analysis, Katan scored the lowest on the external factors evaluation, internal factors evaluation, and critical success factors matrix. While Katan has strengths in customer loyalty and brick-and-mortar market share, it is weakest in online retail market share, e-commerce, and overall financial position. The analysis suggests Katan needs to capitalize on its brand image and customer loyalty while expanding into online shopping and e-commerce to survive in the competitive market.

Uploaded by

Muhammad Asif
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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Solution Assignment no # 1

MGT603
MC190202823
External Factors Evaluation

External Factors Evaluation Weight Ktan Weight


score
Increased Competition 0.18 2 0.36

Government Support for 0.10 2 0.20


Industry
Changing Social Factors 0.17 2 .034

Subsidized Funding 0.10 1 0.1

Availability of skilled 0.15 2 0.3


manpower
Technological advancements 0.15 1 0.15

Growth of the Pakistani 0.10 2 0.2


economy
Variation of customers’ choices 0.05 3 0.15

Total 1.00 1.80

The EFE Rating suggests that Katan is below average in its efforts to pursue strategies that

Capitalize on external opportunities and avoid threats

Internal Factors Evaluation

Financial position and stability 0.20 2 0.4

Technological understanding 0.20 1 0.2

Market share 0.10 2 0.2

Management exp 0.08 1 0.08

Market outreach in the region 0.07 2 0.14

Client relationships 0.25 4 1

Client relationships 0.25 4 1

Total 1.00 2.22


The IFE rating of 2.22 suggests that Ktan is bellow avg in its efforts to pursue strategies

That capitalize on internal strengths and avoid weaknesses.

One key factor that Katan should take to address its weak financial position is Government

Critical sucess Factors Katan Zara's Designs HSU Designs


Weightt Rating Score Weightt Rating Score Weightt Rating Score
Advertising 0.06 2 0.12 0.06 3 0.18 0.06 0.24
4

Brand Image 0.07 4 0.28 0.07 2 0.14 0.07 0.21


3

Customer Loyalty 0.07 4 0.28 0.07 2 0.14 0.07 0.14


2
Brick & Mortar Market 0.1 4 0.4 0.1 2 0.2 0.1 0.3
3
Share
Online Retail Market 0.2 1 0.2 0.2 3 0.6 0.2 0.8
Share 4
Price Competition 0.07 3 0.21 0.07 3 0.21 0.07 0.21
3

E-Commerce 0.13 1 0.13 0.13 4 0.52 0.13 0.52


4
Distribution 0.11 2 0.22 0.11 4 0.44 0.11 0.22
2
Strategic Supplier 0.04 3 0.12 0.04 2 0.08 0.04 0.08
Partnership 2
Variety of Products 0.07 2 0.14 0.07 3 0.21 0.07 0.21
3

Financial Position 0.08 2 0.16 0.08 4 0.32 0.08 0.16


2

Total 1 2.26 1 0 3.04 1 3.09


0

As indicated in CPM Katan is weakest competitor with a score of 2.26

Strong Points of Katan

Customer Loyalty

Brick & Mortar market share

Weak points of Katan


Online retail Market Share

E-commerce

Considering the IFE, EFE and CPM , we can clearly see the below par performance of Katan as
this company is performing below avg. It is not able to capitalize on external opportunities

And cannot cope with the threats. The company canot capitalize on its strengths and cannot

Overcome its weakness. It is the weakest in its competitors

After in depth analysis, I suggest that the company should rephrase its thinking and course of
action. The should capitalize their brand image and customer loyalty but should consider that the
survive in this, they should go for alternative like online shopping and e commerce

For its financial stability. Katan should look for government support

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