6 Write short notes on the following : a)TOWS matrix Concept of TOWS matrix b)Porter’s Five Forces model Concept of Porter’s five forces model
Answer:-
- a) TOWS matrix – A modern tool for situation analysis
SWOT analysis, i.e., analysis of the company’s Strength, Weaknesses, Opportunities, and Threats, was a popular model. This, however, fails to look at it in a combined way. For example, how does the opportunity of not having a bakery similar to Sambhavi in other districts (an opportunity) combine with Sambhavi’s strength? To service the customers in these districts, you need to have good logistics which Sambhavi does not have (weakness). Combining these, we can say that Sambhavi can give up the opportunity because of the weakness or make up the deficiency and make use of the opportunity. So it can develop the logistic capability or collaborate with another company which has good logistic capability in food and serve the customers from other districts. This is what TOWS matrix does. T stands for Threat, O for opportunity, W for weakness and S for Strength. It starts with T because usually it is the threat that makes us sit back and plan (this is not to say that being reactive is ideal).
