Hbc Swot Analysis

Improved Essays
Customers’ needs can be properly addressed by HBC’s wide-ranging retail network of businesses. Business information in terms of strategy and operation are objectively reported.

Strengths Weaknesses
International-wide retail chains
Strong strategic focus Mainly rely on the US customer’s trust has affected by product recalls
Opportunities Threats
Globalization increases business advantage
Growth of online retail market
Strategic partnerships in the real estate market Intense competition in the Canadian retailing
High bargaining power of consumer
Fluctuation of currency exchange rate

 Strengths

International-wide retail chains
The firm have vast physical resources. It owns and operated retail outlets all over Canada, Belgium, US and Germany. It
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However, the company’s revenues are mostly relying on the US that took 65 percentages of the total revenues in 2015. Therefore, HBC is more likely to be affected by regional changes such as legislation, economy. These problems reveal its risk in businesses (Markerline, 2016).

Customer’s trust has affected by product recalls
Many product recalls has happen in HBC, for example, Dyson Canada Limited has recalled about one million of hot and cool heaters around the world in 2014; HBC has also recalled thousands units of food processors which sold at HBC in 2013. These defective products are hazard and may be endanger customers’ life. HBC pone to liable for quality issues because their relationship with third party suppliers. As a result, these may bring bad influence to brand image and sale of HBC (Markerline, 2016).

 Opportunities

Globalization increases business advantage
Globalization offers the advantage of increasing the business by attracting new market share from unexplored markets. For HBC this trend implies facing new competitors that take advantage of the globalization

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