SWOT MATRIX
STRENGTHS WEAKNESSES
A. The company is engaged in diverse A. The company is dependent on imports.
activities. B. The company can be susceptible and
B. The AEV owned businesses show high vulnerable to shortages.
profitability and revenue. C. The different businesses are very
C. The company shows a strong dependent on regulations
relationship with suppliers and partners D. The market that AEV are engaged in is
through long and well-established very competitive and profitability could
connections. be higher in this industry.
D. The market size is adequately large.
E. Attractive as an organization; able to
lure young and talented individuals to
work for them as well as investors.
OPPORTUNITIES THREATS
A. Foreign investors are encouraged to A. The increasing rate of interests is a
invest due to economic growth. threat to the company.
B. Growing demand on products. B. The rising cost of variable materials.
C. Expansion of the company on a global C. The ever-changing tax rates and
scale. government regulations.
D. Diversity in activities results to new D. The increasing number of competitors
products, trends and services. due to a growing economy.
E. New technologies are available at
reasonable costs and can be taken
advantage of.
STRENGTHS
Engaged in diverse activities – AEV operates in four sectors such as consumer
goods, financials, utilities, and industrials. Examples are Pilmico Foods Corp.
(1962), Union Bank of the Philippines, Aboitiz Power, Aboitiz Land, Inc., Aboitiz
Infracapital, Inc etc.
(Show annual report comparison and results)
Strong Relationship with Partners – As of March 31, 2018 Aboitiz & Company,
Inc owns 48.46% of the total shares, while Non-nominee and nominee registered
hold 40.98% and 3.56% respectively. The Directors and officers and affiliates
possess 6.88% and 0.03% a piece.
Large Market – The subsidiaries operate in different sectors which open up
possibilities for growth.
Attractive Organization – Lucrative and many varying posts for aspiring young
individuals.
WEAKNESSES
Dependence on Import – Food supply is imported from Vietnam and Coal is from
Indonesia.
Vulnerable to shortages – Presence of tropical storms and typhoons.
Unable to maximize output – Dependence on regulations.
Competition – AEV subsidiaries compete with other industrial giants like Meralco
for utilities or BDO for Financial.
OPPORTUNITIES
Increasing Growth – Allow Foreign investors to invest in local subsidiaries.
Growing demand – Due to an increase in population, product demands are also
rising.
Global Extension – Expansion globally is possible due to the products and
services that they offer.
Innovation – Advancement in Technology and trends result to new products and
services.
THREATS
Higher Interest rates – Can affect a company’s input and output.
Cost of Materials – Increase in cost can lower down the quantity of products.
Higher Tax Rates – Increase in Tax rates result to increase in production cost.
Cost of Labor – Changes in the government tax system affects the laborers thus
affecting the employers.
Less profit – Due to a number of competitors that are in the same industry as the
subsidiaries.
