SWOT Analysis of Limited Brands

adam May 28, 2012 Retailing No Comments

Limited Brand Corporation was founded in 1963 and is based on the industry of the retailers. The corporation is headquartered in the city of United States that is Columbus, Ohio and is operated and executed by the key people Leslie Wexner who is the CEO of the limited brand corporation. The products and services manufactured and produced by the company are the clothing and accessories.

Limited Brands SWOT Analysis

Limited Brands Strengths

• The company is experiencing the advantage related to the cost as because of the limited size of the limited size of the brands.

• A lot of customers are attracted towards the stores of the limited brands with extreme loyalty.

• The strong and effective communication is present in the retail stores of the company that increases the sales and profitability ratio.

• The company has a very strong management team and also has very good reputation in the market environment.

• The products and commodities produced by the company are very unique in model and with better quality.

• The prices that are stated by the company are very reasonable that increases the demand for the products.

Limited Brands Weaknesses

• The company has no online presence for advertisement purposes to increase its level of production or to seek the orders of the customers online.

• Lack of improvement in the structure of costs is there in the company that declines the growth.

• There found some weak and damaged products and commodities of the company that decreases the loyalty of the customers.

• The company has very limited scope for the brand learning and also has lack of interest in the factors of research and development.

• There are no innovations in the products of the company as they are distinct from the other brands.

Limited Brands Opportunities

• The company should try to improve the financial position as by improving the debts which raises the money.

• Emerge and expand the company with the small firms and businesses especially in the firms allocated internationally that helps in the growth.

• The innovations and inventions of the new products can help in order to increase the growth.

• The company should acquire more assets that help in increasing the production and profitability.

• Provides the availability of online presence as for the company that increases the sales for the differentiated products.

Limited Brands Threats

• The technology used by the company is old fashioned and is cheaper in quality.

• The changes faced by the company through the external environment are the threat as like the imposition of taxes, political issues and government itself.

• The competitors of the company come up with the lower prices as compared to the stated and also on the import duties.

• Economical crisis experienced by the company also become the factor in the stagnant growth.

• The occurrence and settlement of the price wars by the market decreases the profitability of the organization.

• The matured productions of the product, categories and services that decreases the interest of the customers.

References

• (2010), Principles of Management (P.O.M), SWOT ANALYSIS ON Limited Brands.

• www.limitedbrands.com, Accessed on May 27, 2012.

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