Sophia Learning: Organizational Behavior
Touchstone 1: Create a SWOT Analysis
SCENARIO: Quenchbliss is a craft soda company based in El Paso, Texas. Craft sodas are more expensive, gourmet sodas, usually from small companies—the soft drink equivalent of “microbrews.” Quenchbliss’s primary business is their sodas, with smaller revenue streams from merchandise. They have an owners group of thirty shareholders but are not yet publicly traded. They have a staff of about 80, most of whom work in the warehouse, distribution, and at a store attached to the warehouse. All operations are at the same location, from research and development, to promotions and sales, to bottling and distribution. Because it began as a small operation and grew quickly, their organizational structure is flat and organic. “Everybody does a little bit of everything,” their founder and CEO says. Indeed, the CEO herself sometimes takes the register at the store or oversees warehouse operations.
Quenchbliss’s claim to fame is unusual flavors, like “Bacon and Eggs,” and seasonal offerings like “Thanksgiving Turkey.” They have to constantly release new flavors since their target market is focused on these new and unique flavors. In fact, one of the company’s biggest sellers is their subscription box, which comes out four times a year and contains a four-pack of their newest flavors and seasonal favorites. The unusual and constantly changing flavors are also what bring people into the store. Quenchbliss does produce traditional flavors like cola and lemon-lime, which they distribute through restaurants and grocery stores. These bring in reliable revenue, even if they don’t get the attention on social media of their nontraditional flavors. Several months ago, Quenchbliss went international by opening a distribution center in Juarez, Mexico. This market has little competition for craft soda, so their products have become popular. They’ve done so well, in fact, Quenchbliss is considering expanding into other international markets such as Santo Domingo, Dominican Republic, and Kingston, Jamaica.
However, since they have spent time, money, and energy on expansion, Quenchbliss has lost a contract with a local restaurant chain and has also seen a decrease in subscriptions. Because of these setbacks, Quenchbliss has put expansion on hold and gone back to finding exciting new flavors by growing their product development team, a combination of food scientists and creative professionals who brainstorm how to create and market new flavors. This move has caused some internal friction, as many were excited about the continued growth of the brand. Another source of internal friction is that salaries are not keeping pace with the market, so Quenchbliss has a hard time recruiting people for lower-level jobs of production and distribution. These jobs also have high turnover.
ANALYSIS
Please make sure that you review the Unit 1 Touchstone 1 instructional guide carefully. After you’ve analyzed the scenario and completed your research of outside sources, record at least four strengths, four weaknesses, four opportunities, and four threats as
bulleted lists in the appropriate spaces below.
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Strengths |
Weaknesses |
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Opportunities |
Threats |
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IMPACT
Select at least two items identified in your SWOT Analysis that are likely to have an effect on aspects of the internal organization, such as structure, culture, stability, and complexity. Write 2-4 paragraphs that explain why each is important and what effect it will have on the organization. Be sure to include citations from your outside references to support your paragraphs.
RECOMMENDATIONS
Write 2-4 paragraphs with recommendations for Quenchbliss based on the impact statements above. Each recommendation should include a brief risk analysis to anticipate potential pitfalls and propose measures to address these risks. Be sure to include citations from your outside references to support your paragraphs.
REFERENCES
List at least 5 references in APA format, 2 of which can be from the Sophia Learning course tutorials and at least 3 that are original research on the external environment.
