Swot Matrix for Compass Group Essay

Words: 951
Pages: 4

The SWOT analysis is used to evaluate the strengths, weakness, opportunities, and threats involved with a company. The purpose of the SWOT analysis is to make upper management more aware of factors that may or may not affect their business. Though a SWOT analysis can give a company ideas on how to make their company better it can also lead then down the wrong path if done wrong. A SWOT analysis is based on the perceptions and knowledge of other people so if their perception of the company is wrong this will lead to an ineffective SWOT analysis. The SWOT analysis that my group and I came up with took a lot of time and research to ensure that our analysis would be effective. (SWOT analysis on page?)
Our group came up
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The threats to a company are the most important aspect of the SWOT analysis because a threat can cost a company money and it just might run you out of business. The first threat is that the sales /employee ratio is considerable lower than other industries. This could be a problem because as a company you are not getting enough sales per employee and you are losing money because of it. The second threat to Compass Group is that menu prices increased one-two percent with higher labor costs. This could be a big threat depending on the customers because there are always going to be one or two customers complaining about the new prices but it becomes a problem when a majority of you customers start complaining then you can lose of on business. The third threat is the compass Group rival competitors control seventy percent of the US contract food market. If this threat is not lowered to somewhere among fifty percent Compass Group could lose a lot of money in the near future, because if you rival competitors control more than half or the market they can dictate the price to the market. Then, Compass Group will have to make a choice if they want to continue with the own method or play copycat. The next threat of UN investigations can bring bad press to Compass Group and maybe lose some money too due to fines, court cost and things of that nature. The last threat is