Organizational leaders often perform a SWOT analysis, which measures a business’s internal strengths and weaknesses and external opportunities and threats (Nickels, McHugh, & McHugh, 2010). Factors are considered both fixed and variable, and give the organization the opportunity to identify areas for improvement and advancement.
The main strength of Dalman and Lei committing to a large scale expansion of Sandwich Blitz, Inc. is that they already have a strong business plan in place that is showing success. By expanding their business outside of the city they are currently in, they are able to garner a larger customer base. With having eight current shops, they could possibly be better off with getting involved with an expansion that will ...view middle of the document...
One of the main things that keeps this chain successful is the training that each employee receives that allows them to be empowered to make a bad situation right for the customer. Having the training onsite rather than at a main facility may have a negative impact on the way that employees handle customers.
The opportunity of Dalman and Lei committing to a large scale expansion of Sandwich Blitz, Inc. is that they know that they have a very successful idea to bank on. More and more individuals are looking for ways to be healthy, but accommodate their busy lifestyle. By taking their operation outside of their comfort zone they could be beating the competition to these new markets as they have not opened in the current market. This would allow them to take advantage of new markets filled with new potential customers looking for healthy options.
The main threat of Dalman and Lei committing to a large scale expansion of Sandwich Blitz, Inc. is that they could over commit themselves in areas that have been impacted by the recent economic downturn. This could be especially true in areas where they’ve expanded to, but are mostly unfamiliar with on a personal level because of taking on a larger scale expansion of their business. Any failing locations in their chain may make a drain on their available resources. By having only the available resources for two additional stores means that a larger scale expansion will require them to gain additional funds to follow through with the expansion. The possibilities of locations being in the red would impact the overall bottom line of profits as the money to repay the loans will need to come somewhere.