SWOT Analysis of PetSmart

adam November 20, 2012 Retailing No Comments

PetSmart is one of leading online store offering all type of accessories for different kinds of pets of people in USA. It offers wide range of boarding facilities for cats and dogs with its Pets Hotels in different locations like Canada, Puerto Rico and United States. With its 50,000 associates and above 194 in stores along with 1,249 operational stores Pet Smart offers wide range of facilities for pets including grooming, training and adoption of pets. PetSmart offers all kind of pet care solution for pets with more than 10,000 products for pet care. Pets can also enjoy all sort of grooming services at PetSmart Grooming Saloons.

Strengths

• PetSmart is renowned brand of pet products offering unique services for pets along with well built reputation in community.

• HR policies practiced by company are well defined and specifically mentioned on the website of company especially for HR and company also demonstrates sturdy corporate ethics.

• PetSmart is known for social welfare of animals especially for pets like cats and dogs.

• This company practice consistent efforts for it sustainability and for diverse workplace.

• Financially PetSmart is strong organization that acquired 16% profit within last quarter and gained DTE of 50.2.

• The financials for company are easily accessible.

• PetSmart also have 100 million of untapped credit.

• Another positive aspect of company is that the major shares of company are owned by employees of the company.

Weaknesses

• Although PetSmart is one successful company in its genre of services however, some of the employees of company lack sense of motivation.

• Staff members of company also possess poor communication.

• The income of PetSmart also exhibit vast disparity.

• PetSmart also offers less cost benefits for its employees on hourly basis.

• Many products by PetSmart are manufactured from other locations like China which can affect the quality of the products.

Opportunities

• PetSmart posses wide range of opportunities with its more than 50,000 associates and strong community existence.

• With its wide range of services for pets, PetSmart has good chance for foreign expansion especially in Europe and Mexico.

• With collaboration of famous designer more lines of products can be introduced.

• By introducing homeopathic and holistic products the market of company can be enhanced.

• Providing companion dogs for people by working with other training groups in community, company can generate good profits.

• PetSmart can also promote retailers, advocate and local pets.

• Offering grants for more innovative products can also enhance the business of PetSmart.

Threats

• The local small business owners and pet retailers can offer competition to PetSmart.

• Most renowned competitor of company is PetCo.

• Due to low scale and poorly scheduled benefits for employees company can lose employees rapidly.

• Economic declines can affect the spending power of customer which will also reduce the amount of money they can spend on their pets.

• Other online retailers like eBay and Amazon can also affect the sales of products as these companies offer pet products at reduced prices.

References

• Financial report at yahoo finance http://finance.yahoo.com/news/solid-2q-petsmart-guides-124437005.html, published 16 August, 2012. Retrieved 29 October, 2012.

• Official website http://www.petsmart.com/ Retrieved 30 October, 2012.

• News room at official website http://www.petm.com/newsroom.cfm Retrieved 30 October, 2012.

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