IFE Total Weighted Scores

Strong Average Weak

4.0-3.0 2.9-2.0 1.9-1.0
4.0 I II III
EFE Total Weighted Scores

High

3.0 IV V VI

Medium

2.0 VII VIII IX

Low

1.0
 Weak
1.9-1.0
III

VI

IX
 QSPM

ALTERNATIVE STRATEGIES SPACE BCG IE GRAND STRATEGY

Forward integration
Backward Integration X X X X
Horizontal integration
Market Penetration X
Market Development
Product Development X X X X
Concentric Diversification
Coglomerate Diversification
Horizontal Diversification
Joint venture X
Retrenchment
Divestiture
Liquidation
COUNT

1
 EXTERNAL FACTOR EVALUATION MATRIX
KEY EXTERNAL FACTORS WEIGHT (0 to 1.0) RATING (1 to 4) WEIGHTED SCORE

OPPORTUNITIES

Innovations & Technology - Smart Materials 0.2 4 0.8

Increase in Market Demand (Athleisure
Products) 0.05 4 0.2

Demand in Asian Markets 0.09 3 0.27

Digital Marketing & Customer Engagement 0.09 3 0.27

In house manufacturing 0.2 3 0.6

THREATS

Competition 0.1 2 0.2

Supplier Dominance 0.09 2 0.18

Market Fluctuations 0.1 1 0.1

Regulatory Pressures 0.08 2 0.16

TOTAL 2.78

0.37
0.63
1
WEIGHTED SCORE

0.8

0.2

0.27 0.63 0.37

1
0.27

0.6

0.2

0.18

0.1 2.91

0.16

2.78

3-3.9 2
3
 INTERNAL FACTOR EVALUATION MATRIX
KEY INTERNAL FACTORS WEIGHT (0 to 1.0) RATING (1 to 4) WEIGHTED SCORE

INTERNAL STRENGTHS
Strong Market Share, Product
Diversification & Multiple Product
Portfolio 0.2 4 0.8

Strong Financial Position 0.1 4 0.4

Legacy 0.12 4 0.48

Strong Community & Celebrity
Endorsements 0.02 3 0.06

Growth through Acquisitions 0.1 3 0.3

Effective Distribution Channels 0.04 3 0.12

Strong Memberships and Collaborations 0.02 4 0.08

INTERNAL WEAKNESSES

Limited Product Line 0.05 2 0.1

Outsourced Manufacturing 0.15 2 0.3

High Logistics Cost 0.2 2 0.4

TOTAL 3.04
0.4
0.6
1
WEIGHTED SCORE

0.8

0.4

0.48

0.06

0.3

0.12

0.08

0.6 0.4
1 1
0.1 0

0.3

0.4

3.04

2-2.9 3-Apr
 SWOT ANALYSIS
STRENGTHS WEAKNESSES
1. Strong Market Share, Product 1. Limited Product Line
Diversification & Multiple Product
Portfolio

2. Strong Financial Position 2. Outsourced Manufacturing

3. Legacy 3. High Logistics Cost

4. Strong Community & Celebrity
Endorsements
5. Growth through Acquisitions

6. Effective Distribution Channels

7. Strong Memberships and

Collaborations
SO - Strategies WO - Strategies
1. Innovations & 1. Promotion in Asian markets - 1. New Product Lines -
OPPORTUNITIES

Technology - Smart Strong financial position will Introducing new product lines
Materials help in increasing amount of for different athleisure wear.
promotion due to increasing (W1, O2)
demand in Asian market.
(S2,O3)

2. Increase in Market 2. Product Development 2. Backward Integration -

Demand (Athleisure through Innovation & Integrate manufacturing
Products) Technology - Using strong processes of existing products
memberships and instead of outsourcing. (W2,
collaborations, innovate new O5)
products with the help of new
technology. (S7, O1)

3. Demand in Asian 3. Digital Marketing through

Markets Celebrity Endoresements - Strong
community & celebrity
endorsements will help Adidas to
market on digital platforms &
engage customers. (S4, O4)

4. Digital Marketing &

Customer Engagement

5. Backward
Integration
ST - Strategies WT - Strategies
 1. Competition 1. Grow through acquiring 1. Reduce Outsourcing in order
THREATS

upcoming future competition (S5, to have dominance over

T1) suppliers. (W2, T2)
2. Supplier Dominance 2. Increase products lines, so
that, at times of market
fluctuations, Adidas does not
fall. (W1, T3)

3. Market Fluctuations

4. Regulatory
Pressures
KEY FACTORS WEIGHT PRODUCT DEVELOPMENT

EXTERNAL 1 to 4
Opportunities
Innovations & Technology - Smart Materials 0.2 4
Increase in Market Demand (Athleisure Products) 0.05 1
Demand in Asian Markets 0.09 2
Digital Marketing & Customer Engagement 0.09 2
In house manufacturing 0.2 3
Threats
Competition 0.1 4
Supplier Dominance 0.09 3
Market Fluctuations 0.1 3
regulatory pressures 0.08 1
1
INTERNAL 1 to 4
Strengths
Strong Market Share, Product Diversification & Multiple
Product Portfolio 0.2 4
Strong Financial Position 0.1 4
Legacy 0.12 3
Strong Community & Celebrity Endorsements 0.02 3
Growth through Acquisitions 0.1 2
Effective Distribution Channels 0.04 4
Strong Memberships and Collaborations 0.02 3
Weaknesses
Limited Product Line 0.05 4
Outsourced Manufacturing 0.15 2
High Logistics Cost 0.2 2
1
TOTAL
PRODUCT DEVELOPMENT BACKWARD INTEGRATION

Total weightage 1 to 4 Total weightage

0.8 2 0.4
0.05 3 0.15
0.18 3 0.27
0.18 1 0.09
0.6 4 0.8

0.4 3 0.3
0.27 4 0.36
0.3 1 0.1
0.08 2 0.16
2.86 2.63
Total weightage 1 to 4 Total weightage

0.8 2 0.4
0.4 3 0.3
0.36 2 0.24
0.06 2 0.04
0.2 2 0.2
0.16 4 0.16
0.06 3 0.06
0
0.2 2 0.1
0.3 4 0.6
0.4 4 0.8
2.94 2.9
5.8 5.53