INTERNAL FACTOR EVALUATION (IFE):
Internal Factor Weight Rating Weighted Score
Strengths
1. High-quality ingredients and
0.08 4 0.32
customizable pizzas
2. Strong local brand loyalty 0.07 4 0.28
3. Affordable pricing compared
0.07 3 0.21
to global competitors
4. Strategic locations in urban
0.06 4 0.24
areas
5. Focus on localized flavors
0.08 4 0.32
catering to Malaysian tastes
6. Good customer service and
0.07 3 0.21
personalized attention
7. Efficient kitchen operations
0.06 3 0.18
ensuring consistent quality
8. Active use of digital
0.07 3 0.21
marketing and social media
Weaknesses
1. Limited budget for large-
0.08 2 0.16
scale marketing campaigns
2. Smaller delivery network
0.06 2 0.12
compared to competitors
3. Dependence on a few core
0.05 2 0.1
menu items
4. Lack of advanced
technological systems (e.g., 0.07 2 0.14
GPS tracking)
5. Limited economies of scale
0.07 2 0.14
compared to global players
6. Slower adaptation to market
0.06 2 0.12
trends like plant-based options
7. Relatively small footprint in
0.05 2 0.1
suburban and rural areas
8. Limited diversification in
product offerings (e.g., 0.06 2 0.12
desserts)
Vivo Pizza’s Internal Factor Evaluation (IFE) Matrix score of 3.18 indicates that the company
has a strong internal foundation, effectively leveraging its strengths such as high-quality ingredients,
localized flavors catering to Malaysian tastes, and strong customer loyalty. These factors position the
brand competitively in the local market. However, challenges such as limited technological capabilities,
a smaller delivery network compared to larger competitors, and underdeveloped product
diversification hinder its ability to fully capitalize on market opportunities. To enhance its position, Vivo
Pizza must address these weaknesses by investing in advanced technologies, expanding its marketing
reach, and diversifying its menu offerings to cater to evolving consumer preferences, ensuring
sustained growth and competitiveness.
EXTERNAL FACTOR EVALUATION (EFE):
Weighted
External Factor Weight Rating
Score
1. Growing Demand for Fast Food 0.08 3 0.24
2. Increasing Health Consciousness Among Consumers 0.07 2 0.14
3. Economic Recession or Economic Downturn 0.06 2 0.12
4. Government Regulations and Policies on Food Safety 0.05 3 0.15
5. Changes in Consumer Preferences 0.08 3 0.24
6. Technological Advancements in Food Delivery 0.07 3 0.21
7. Increasing Competition from Global Brands (e.g.,
0.09 2 0.18
Domino’s, Pizza Hut)
8. Rising Costs of Raw Materials (e.g., cheese, flour) 0.08 2 0.16
9. Availability of Affordable Labor in Malaysia 0.05 4 0.2
10. Increase in Online Ordering and Delivery Services 0.07 3 0.21
11. Rising Popularity of Plant-Based Diets 0.07 3 0.21
12. Environmental Concerns Over Packaging 0.06 2 0.12
13. Cultural Trends Towards Fusion Cuisine 0.06 3 0.18
14. Government Support for SMEs 0.05 4 0.2
15. Evolving Digital Marketing and Social Media Trends 0.06 3 0.18
16. Fluctuations in Exchange Rates (Impact on Imports) 0.05 2 0.1
17. Growing Tourism and Foreign Expatriate Population 0.06 3 0.18
18. Increased Health and Safety Protocols in the Post-
0.06 3 0.18
Pandemic Era
19. Strong Preference for Localized Flavors in Malaysia 0.07 4 0.28
20. Rising Demand for Delivery and Contactless Services 0.06 3 0.18
The EFE Matrix score for Vivo Pizza is 4.21, which lies within the range of 3.1 to 4.0, signifying
an exceptional reaction to external influences. A score within this range indicates that Vivo Pizza is
effectively responding to the external environment and capitalizing on available opportunities. The score
exceeds the average, indicating that the company possesses a robust comprehension of the issues
influencing its business and is responding adeptly.