Situational analysis is defined as a methodical compilation and assessment of past and current economical, political, social, and technological data. This has an objective of assessing the organizations PEST and SWOT analysis, and also identification of internal and external forces that may affect the company’s performance and choosing of strategies. Market opportunity analysis is the utilization of forecasting techniques to the market factors that may influence the demand a product.
It is also defined as formal ordered effort to recognize future situations which can be utilized to gain competitive advantage. Several techniques ranging from simple extrapolation complex technological forecasting and decision support systems can be used in market analysis. The purpose of market opportunity analysis is to determine is there is sufficient demand for the envisioned product or service and to establish if he product or service can be offered on profitable basis in the market as argued by Boar (2010).
The function of market opportunity analysis is to synchronize the operations of the company with the goals and objectives in order to gain competitive advantage. Task Information Systems is an organization with twenty three years experience whose business is the provision of strategic information systems for organizations, the company offers several Information and Communication technology based services such as M. I. S. / I. T. Department Management and Technical Project Management, Information Technology consultancy, network design, tailor made software, web development and user Training.
A customer market opportunity analysis at Task information systems involves analysis on the firm’s priorities if they are in agreement with the organizations goals and objectives. The company intents to be a world class player in the information systems market , however, its objective is to provide information systems to fifty companies in two years. An analysis reveals that the goal and the objectives may not be in agreement since to be a world class player requires offering services to more customers in a year, not just fifty in two years.
The company needs to clearly segregate customers, so as to be understandable on the criterion of determining the fifty companies to be served in two years. An analysis on the flexibility of the company in terms of willingness to tailor services to suit the needs of the customers, involves working with customers to design and redesign products. An analysis of the firm’s strengths reveals that the company has good community customers, moreover Task information Systems is relatively flexible organization which can be attested by its strategy on customer satisfaction.
Another important concept on market opportunity analysis is on the products offered by the company, if they can be supported over a long duration of time for a number of targeted customers. The company offers M. I. S. / I. T. Department Management and Technical Project Management, Information Technology consultancy, network design, tailor made software, web development and user Training among several other services, this can be compared with the available knowledge base and expertise.
The analysis reveals that the company is promising more than it can deliver to the satisfaction of customers, since if it is to offer all the advertised services the workforce would be overwhelmed. An analysis on ways in which the organization can make better, more productive use of the information to which is already in its domain to create effective customer satisfaction and relations, reveals that the company has the opportunity of faster information,that allows business with no boundary limit in terms of potential customers, furthermore the organization has positioned itself to deal with the latest innovations in the market.
Task information utilizes the latest innovations such as Search Engine Positioning, NetObjects Fusion, Sonicwall, ZoneAlarm, and Kerio Firewalls this therefore reveals that the company is dynamic and stands to benefit from its strong capacity to consolidate on various innovations.
On analysis of the existing policies, procedures and practices governing the management and utilization of information throughout the organization, reveals that information utilization in the organization is not centralized and there exists no centralized management structure, this reveals therefore that the company lacks good managers with good leadership skills, which may affect customer experience and relations.
An analysis on the opportunities available for Task information systems, which can be utilized to gain competitive advantage include deregulation allows the company to advance into new markets hence more customers, in addition, the company can utilize the opportunity of faster information allows business with no boundary limit, this is because most of the services, offered by the firm are internet based, therefore the company can reach several clients at a time.
Another present opportunity is in the strategies utilized by the organization to gain a market niche, the company utilizes added value, customer satisfaction, training, aggressive marketing, e-commerce and lower cost, in order to increase the customer base and gain competitive advantage. Conclusion To gain competitive advantage therefore, Task information systems has to focus on effectively identifying and meeting the unmet/underserved customer needs, and eliminate barriers that block some/all potential customers, while at the same time innovating opportunities that enhance the customers’ experience.
The strategic moves to be taken are value chain which is a set of value creating activities within the company. This includes trapped value which is concerned with efficiency, accessibility and customer empowerment. New value involves personalization, extension, community-building, collaboration while horizontal plays improve functional operations to satisfy customer experience, in addition the company should adopt vertical plays which in concerned with improving industry specific business activities. Importance of gap analysis, determining weakness in other organizations
Determining weakness in other organization is very important to assist the organization in deciding upon marketing strategies and tactics, knowing the weakness of the competitors is beneficial in understanding how to exploit those weaknesses while marketing the products of the company and pointing out the strengths of the company to the customers. Determining weaknesses of competitors is also important to assist the organization to avoid those weaknesses, and avoid actions and situations that may lead to the same weaknesses.