Quoc Thanh Design Company External Analysis

2. External analysis

a. Opportunities

Six given external factors might impact both positively and negatively on Quoc Thanh design company. Doing external analysis aims to find out the challenges, legislation and competitive advantages or opportunities of this firm. After investigating six factors related to external environment of Quoc Thanh Design company, it can be seen that there are and several weaknesses and strengths.

In term of weaknesses, Quoc Thanh Design company has not received fund, supports from the government. The owner has to provide fund for their own business without any helps or financial supports from the government. It sometimes can have some difficulties in producing process. When budget is not enough for purchasing materials or machines, the companies funded by the government can continue their production and provide products, services on time. Therefore, Quoc Thanh Design has to prepare for serving customers and making new handicraft. If fund resourse is not adequate, the producing process may waste more time.

Although Quoc Thanh design is not funded by the government or local council, it still develops very well and receives positive feedback from customers and their partners. Its success bases on the following strengths. First of all, global factor is one of the important factors which help the company make impression to both local and foreign customers. Handicraft products made by Quoc Thanh design attract buyers because they are unique, colorful, well-designed and particularly bring traditional cultural values. Therefore, the majority of partners are foreign. It can be seen that globalization plays an important in the company’s development. Secondly, Economic also has an influence in the company operations. Economic changes and varies every day. Although Quoc Thanh design has to face several competitors and does not receive fund from other resources, they are still influenced by economic. If the economic crisis happens, it might impact negatively on the company’s business. However, economic is still regarded as one strength of the company because it is slightly impacted by economic compared to other firms or companies which do not recover fund yourself, The third factor is Demographic component. The products of Quoc Thanh design are popular with middle aged people or those who want to order products based on their children’s interest. Demographic age helps company introduce its unique products to customers. Fourthly, technological factor is the strength of company and developing and promoting producing process. Quoc Thanh design uses technological facilities, tools and machines to dye, weave materials. Other steps like assembling parts of products are made directly by workers. Finally, Sociocultural is also regarded as the strength because it helps the company introduce Vietnamese and Eastern culture to people all around the world. Because of the creative, attractive and unique values which the products bring, foreigners are very excited to buy to decorate their house. External environment is the main factor of the operation and development of Quoc Thanh design.