Assignment: 2

FEDERAL URDU UNIVERSITY,

Karachi
 SWOT ANALYSIS

WHAT IS SWOT ANALYSIS

The SWOT (Strengths, Weaknesses, Opportunities, and Threats)

analysis has been a useful tool for industry. The process of utilizing the
SWOT approach requires an internal survey of strengths and weaknesses
and an external survey of threats and opportunities.
SWOT is a simple, easy to understand technique. It can be used an end
in itself. The purpose of this paper is to demonstrate how SWOT can be
used by administrators to analyze and initiate new program offerings in
vocational education.
 SWOT ANALYSIS BETWEEN TAPAL AND
LIPTON YELLO LABEL

INTRODUCTION OF TAPAL TEA

Tea is one of the most popular drinks in the entire world and the most
widely consumed.
Beverage in South Asia. The demand for tea in Pakistan is very high. With such a
high
consumer base , the competition is also very intense. Brands such as Tapal,
Lipton,
Brooke Bond and Supreme, being the leading tea makers not only compete with
one
another but also face intense competition from loose tea.
Tapal is a well known name in Pakistan. In 1947, it started business as a Tea
leader and so celebrated its 55th anniversary in 2002. Their first shop was in Jodia
Bazaar.
The journey of Tapal's remarkable success is the combined efforts of three
dynamic
generations of the Tapal Family. Tapal started out as a family concern under the
personal
supervision of its founder, Adam Ali Tapal. The company continued to grow under
the
management of the founder's son, Faizullah A. Tapal. . Currently it is managed by
the
founder’s grandson, Aftab .

INTRODUCTION OF LIPTON YELLOW LABEL

Unilever is one of the world’s greatest consumer goods company and Lipton
yellow label is a product of Unilever .They sell around 150 million products a day,
which makes them worlds largest food businesses and a leader in Home and
Personal Care markets. There brands meet people everyday needs for nutrition
,hygiene and personal care and they are obsessed with developing new products
that reflect the way that people likes and tastes are changing.

STRENGTHS
STRENGTHS OF TAPAL
 Continuous innovation for increased customer value, for example:
 First to introduce soft pack in the country,
 The pioneers of introducing Jasmine Green Tea in Pakistan.
 The only company to introduce round-tea bags in Pakistan.
 The only company to develop an entirely new blend and category (the
 mixture of leaf & dust).
 Tapal is one company that is catering to the needs of all segments of the
society.
 Export
 Tea cultivation
 Strong R&D team
 Brand sponsored shows such as musical concerts and cricket tournaments.
 Good brand awareness in the local target market.

STRENGTHS OF LIPTON
 Experienced and quality management.
 Strong Ethical value (culture and heritage)
 Strong financial position
 Strong company image
 Success of the slogan
 Quality & variety
 Effective & attractive packaging
 Brand recognition
 Accessibility

WEAKNESSES
WEAKNESSES OF TAPAL
 It is a major hurdle for Tapal to position its tea abroad in the minds of the
consumers and encourage them to indulge in brand switching.
 Have to import some of their products from other countries, which increase
their
costs.
 Most of the sales are on cash, problem for the distributor then they can
switch to
competitors.
 Tight quality control procedures lead to higher costs and its time consuming
and
often discontent the suppliers.

WEAKNESSES OF LIPTON YELLOW LABEL

 High prices of the product
 Substitute products

OPPORTUNITIES
OPPORTUNITIES OF TAPAL
 In the long run there is going to be a lucrative market for Ice-Tea and
flavored tea.
 The market growth of the tea-bag market because of it being easy to use.
 Customers are more attracted towards strong taste and quality of tea offered
by
tea providers.
 There are markets in Punjab, N.W.F.P and Balochistan, which are not as yet
explored by competition.
 Duty free tea import from Sri Lanka and Bangladesh and India.
 Green tea market is growing.

OPPORTUNITIES OF LIPTON
  Research & development
 Makes people active
 Brand is the part if traditional drinking habits
 Expansion in other areas of country

THREATS
THREATS OF TAPAL

 Strong marketing campaigns of Unilever makes it extremely difficult for

Tapal to
counter-attack because of low budgets.
 Unilever as a more established brand name than Tapal worldwide.
 High import duties encourage smugglers of tea to grow.
 The unstable rules and regulation of the government hinders the tea
companies.
 Due to climatic conditions, when the weather of Pakistan is mostly hot;
consumers would prefer soft drinks over tea.

THREATS OF LIPTON
 Strong competition in rural and urban areas
 Internationally increasing tea prices
 Political conditions in the country may be obstacle to exports
 High inflation in the country can negatively affect the brand