Week 2 Discussion
"Growing Honest Tea" Please respond to the following:
Review the following documents:
Honest Tea’s business plan for 1999 (PDF).
A strengths, weaknesses, opportunities, and threats (SWOT) analysis based on Honest Teas’ business plan (PDF).
Suppose Honest Tea has hired you as a consultant to evaluate the completeness of their strategy for future growth. Base your evaluation on the provided SWOT analysis. Provide a rationale for your response.
In my review of the Strengths, Weaknesses, Opportunities, and Threats Analysis (SWOT) I believe that overall the analysis is pretty much complete, however, there is room for improvement in the area of weaknesses and threats. In the area of weaknesses they list “Initial costly development phase” as a weakness. I really don’t see that as a weakness, to me it shows that they are willing to invest their money to create or develop a great product, I would rather know that a company did all in their power to give me an excellent product than someone who cut corners to save money to sell me a faulty product that in the end could cause more damage than help.
This brings me to my next point they list “Unforeseen health-related issue might hurt brand” as a threat, in my opinion this conflicts with the weakness that I mentioned earlier. If you have spent all of this money in the development stage that means that a great portion of that spending went into research and the research should have revealed any health-related issues that could occur from the creation of your product. If this is the case then you would have the opportunity to choose not to create a product that could lead to health problems. So, I suggest that they rethink the areas of weaknesses and threats and tweak them just a little.