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H&M is investing huge resources in training and development of its employees resulting in a workforce that is not only highly skilled but also motivated to achieve more. Highly skilled workforce through successful training and learning programs.
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Strong Free Cash Flow – H&M has strong free cash flows that provide resources in the hand of the company to expand into new projects.Reliable suppliers – It has a strong base of reliable supplier of raw material thus enabling the company to overcome any supply chain bottlenecks.Strong dealer community – It has built a culture among distributor & dealers where the dealers not only promote company’s products but also invest in training the sales team to explain to the customer how he/she can extract the maximum benefits out of the products.Based on Fern Fort University extensive research – some of the strengths of H&M are – These strengths not only help it to protect the market share in existing markets but also help in penetrating new markets. Step by Step Guide to H&M SWOT Analysis Strengths of H&M – Internal Strategic FactorsĪs one of the leading companies in its industry, H&M has numerous strengths that help it to thrive in the market place. The main purpose of SWOT matrix is to identify the strategies that a firm can utilize to exploit external opportunities, counter threats, and build on & protect H&M strengths, and eradicate its weaknesses. WO (weaknesses-opportunities) Strategies.SO (strengths-opportunities) Strategies.The Strengths-Weaknesses-Opportunities-Threats (SWOT) Analysis / Matrix helps the managers of the H&M to develop four types of strategies: It leads to a 2X2 matrix – also known as SWOT Matrix. The SWOT Analysis framework helps an organization to identify the internal strategic factors such as -strengths and weaknesses, & external strategic factors such as - opportunities and threats. SWOT analysis a highly interactive process and requires effective coordination among various departments within the firm such as – marketing, finance, operations, management information systems and strategic planning.
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H&M maintains its prominent position in market by carefully analyzing and reviewing the SWOT analysis. The H&M is one of the leading organizatations in its industry. It is a handy technique to evalauate the present Strengths (S), Weakness (W), Opportunities (O) & Threats (T) H&M is facing in its current business environment. SWOT analysis is a strategic planning tool that can be used by H&M managers to do a situational analysis of the company.