TOWS Analysis for GreenWrap Based on Blue Ocean Strategy
Introduction to TOWS and Its Role in Blue Ocean Strategy
The TOWS analysis expands upon SWOT by connecting internal strengths and
weaknesses with external opportunities and threats to develop actionable strategies.
Combined with the Blue Ocean Strategy, this approach allows GreenWrap to
establish itself in uncontested market spaces, focusing on innovative, eco-friendly
packaging that aligns with Singapore’s Green Plan 2030 (Singapore Green Plan
2030 Charts Ambitious Targets for Next 10 Years to Catalyse National Sustainability
Movement, 2021). Through the Four Actions Framework—Eliminate, Reduce, Raise,
and Create—GreenWrap redefines the packaging industry, eliminating outdated
practices, reducing costs, raising standards, and creating new value.
1. Strengths + Opportunities (SO):
Leveraging strengths to capitalize on external opportunities and create new market
space.
Utilize government support and CSR programs to reinforce market presence:
GreenWrap can benefit from Singapore’s Green Plan 2030, securing grants from
initiatives such as the Enterprise Sustainability Fund to reduce initial costs
associated with its IoT-enabled smart recycling system. Funding from this program
can accelerate the deployment of RFID-tracked smart bins and blockchain
technology, enhancing waste management transparency. Additionally, partnerships
with CSR-focused corporations like Unilever and Nestlé align GreenWrap with global
brands that prioritize plastic waste reduction. By integrating GreenWrap’s
eco-friendly packaging into their CSR programs, these companies gain credibility
with environmentally conscious consumers, while GreenWrap benefits from
expanded market reach and visibility (Tan, 2021).
Expand into international markets with strategic partners: Leveraging its partnerships
with Grab and Foodpanda, GreenWrap can enter environmentally-conscious
regions, particularly Europe (EU) and ASEAN countries like Malaysia and Thailand.
Both regions have implemented strict environmental policies, creating a demand for
eco-friendly packaging solutions. Through PLA, PHA, and PBAT biodegradable
materials, GreenWrap’s model of combining sustainable packaging with advanced
recycling technology can address these regulatory standards, allowing for seamless
expansion and a competitive edge in new markets (Singapore Environment Council,
2022).
Lead the market with smart recycling technology: By combining IoT, blockchain, and
a consumer rewards system, GreenWrap’s smart recycling technology establishes a
distinct competitive advantage. With partnerships with IoT firms like ST Engineering
for sensor technology and blockchain companies such as VeChain for traceability,
GreenWrap’s waste management system offers end-to-end transparency, which
traditional packaging companies lack. This positioning aligns with the “Create”
component in the Blue Ocean Strategy, allowing GreenWrap to pioneer an entirely
new market segment.
2. Strengths + Threats (ST):
Using strengths to mitigate external threats through differentiation and innovation.
Differentiate through technology to counter competition from established players:
GreenWrap faces competition from traditional packaging giants like Tetra Pak and
Amcor, which are capable of producing cheaper biodegradable options. GreenWrap
can mitigate this threat by emphasizing its proprietary RFID tracking and
blockchain-based transparency system, which differentiates it as more than just a
packaging provider. The ability to track each package’s lifecycle aligns with
companies seeking certifications, such as ISO 14001 for Environmental
Management Systems, making GreenWrap’s solution more attractive to
compliance-driven businesses (Tan, 2021b). This strategy aligns with the “Raise”
action, as GreenWrap elevates industry standards.
Drive consumer education and incentives to enhance recycling participation:
GreenWrap uses the GreenWrap App and partnerships with Grab and Foodpanda to
educate consumers on responsible recycling practices. By offering rewards for
correct disposal, such as redeemable points through GrabRewards or Foodpanda’s
loyalty program, GreenWrap encourages users to actively engage in recycling,
addressing consumer resistance. This aligns with the “Raise” component by
promoting consumer convenience and increasing participation rates.
3. Weaknesses + Opportunities (WO):
Addressing internal weaknesses by leveraging external opportunities.
Apply for government funding to offset initial investment costs: High initial costs for
deploying IoT-enabled smart bins and blockchain infrastructure can be offset through
Singapore’s Enterprise Sustainability Fund. Securing grants from this fund will
reduce GreenWrap’s financial burden, allowing it to allocate more resources to
technology development and scaling. This support helps GreenWrap “Reduce” cost
barriers, making eco-packaging solutions more accessible.
Collaborate with CSR-driven companies to increase market visibility: Partnerships
with companies like Nestlé and Unilever that prioritize sustainability in their CSR
strategies can help increase GreenWrap’s visibility and market reach. By positioning
GreenWrap’s biodegradable packaging within the CSR initiatives of these global
brands, the company benefits from increased consumer awareness. Through joint
campaigns and branding initiatives, GreenWrap can educate consumers on the
importance of eco-friendly packaging, addressing limited consumer awareness. This
approach aligns with “Raise” as it elevates GreenWrap’s market visibility.
Optimize pricing as demand for sustainable packaging grows: As demand rises,
GreenWrap can achieve economies of scale, reducing production costs. This
enables GreenWrap to adjust pricing, making its offerings more competitive. For
example, while premium packaging may cater to high-end clients, GreenWrap can
also introduce basic, cost-effective solutions for budget-conscious businesses,
aligning with the “Reduce” action.
4. Weaknesses + Threats (WT):
Implementing defensive strategies to minimize weaknesses and external threats.
Diversify recycling partnerships to reduce reliance on key providers: GreenWrap
currently relies on Sembcorp and Veolia for recycling infrastructure, which presents
risks if these providers face disruptions. By diversifying partnerships and working
with additional waste management companies, such as Envac and Cleanaway,
GreenWrap ensures a more resilient supply chain. This aligns with the “Eliminate”
action, reducing dependency on single providers and ensuring operational stability.
Adopt cost-efficient scaling strategies to maintain competitiveness during economic
downturns: During economic downturns, businesses may prioritize cost-saving over
sustainability. To address this, GreenWrap can adopt a cost-effective scaling strategy
that focuses on high-demand urban areas like Singapore’s Central Business District
or densely populated zones in Kuala Lumpur. Offering tiered pricing models allows
GreenWrap to remain competitive, appealing to both premium clients and
budget-conscious businesses (Singapore Environment Council, 2022b). This
approach aligns with “Reduce”, balancing cost management with sustainable growth.
Conclusion
This TOWS analysis, built upon the Blue Ocean Strategy’s Four Actions Framework,
allows GreenWrap to carve out an uncontested market space within the eco-friendly
packaging industry. By strategically leveraging government support, establishing
CSR-focused partnerships, and emphasizing its advanced recycling technology,
GreenWrap is well-positioned to eliminate outdated industry practices, reduce costs,
raise industry standards, and create new consumer value. This integrated approach
not only supports Singapore’s environmental goals under the Green Plan 2030 but
also ensures GreenWrap’s leadership in the sustainable packaging market.
Singapore Environment Council. (2022a). Unlocking sustainable packaging
opportunities in Singapore.
https://sec.org.sg/pdf/reports/unlocking-sustainable-packaging-opportunities-i
n-Singapore.pdf
Singapore Environment Council. (2022b). Unlocking sustainable packaging
opportunities in Singapore.
https://sec.org.sg/pdf/reports/unlocking-sustainable-packaging-opportunities-i
n-Singapore.pdf
Singapore Green Plan 2030 charts ambitious targets for next 10 years to catalyse
national sustainability movement. (2021, February 10).
https://www.greenplan.gov.sg/news/press-releases/2021-02-10-press-release-
on-green-plan/
Tan, M. (2021a). Singapore’s sustainable management of packaging waste including
plastics. In APEC Workshop on Promoting Innovative Models in Reducing and
Managing Land-based Debris Into Oceans for Sustainable Development.
https://mddb.apec.org/Documents/2021/OFWG/WKSP/21_ofwg_wksp_006.p
df
Tan, M. (2021b). Singapore’s sustainable management of packaging waste including
plastics. In APEC Workshop on Promoting Innovative Models in Reducing and
Managing Land-based Debris Into Oceans for Sustainable Development.
https://mddb.apec.org/Documents/2021/OFWG/WKSP/21_ofwg_wksp_006.p
df
