Final Project: Situation or SWOT Analysis

When even thinking about launching any new product, it behooves everyone to give the product a thorough and in-depth analysis. Thus, "The marketer should conduct a SWOTanalysis, by which it evaluates the company’s overall strengths (S), weaknesses (W), opportunities (O), and threats (T)", (Marketing: An Introduction, Armstrong/Kotler, pg. 55).

There are a few key things to keep in mind when putting a product through a SWOT analysis, each being vitally important to the item's success. With regards to strengths, it is very important that the analysis include "internal capabilities, resources, positive situational factors that may help the company to serve its customers and achieve its objectives", (Marketing: An Introduction, Armstrong/Kotler, pg. 55). Ergo Vodka has many strengths, chief among them the unwavering commitment to distributing a product that is certified organic and eco-friendly, thereby being good for you AND the environment. This commitment creates a trusting relationship with our customers. They believe in our product because of what Ergo stands for as a vodka, but also as a movement. And they want to be part of that movement.

Weaknesses, on the other hand, include "internal limitations and negative situational factors that may interfere with the company’s performance", (Marketing: An Introduction, Armstrong/Kotler, pg. 55). Ergo, like any other product, has weaknesses. Though other energizing vodkas exist, it might be hard to bring a new product into the market. This is especially true, considering the plethora of vodkas out there. "What makes this vodka so special?", customers might ask. Well, all they'd have to do is read the bottle and take a sip.

What Ergo absolutely has going for it, however, is opportunities, or "favorable factors or trends in the external environment that the company may be able to exploit to its advantage" (Marketing: An Introduction, Armstrong/Kotler, pg. 55). Society in recent years has become much more attentive toward the environment and the need for sustainable business practices. This is a prime time to introduce Ergo, and to capitalize on the environmentally friendly stance the company takes.

Unfortunately, there are some threats to Ergo, a major one being the already-established energizing, organic vodkas on the market. Since threats are "unfavorable external factors or trends that may present challenges to performance" (Marketing: An Introduction, Armstrong/Kotler, pg. 55), it is especially important for the marketer to take these into consideration before releasing the product. Ergo knows the threats it faces, but we will face these threats head-on and distribute a widely successful product.