Business Summary and Scope
The San Antonio Spurs is an American proficient basketball team in San Antonio. Under the National Basketball Association (NBA), the Spurs compete as an associate of the League’s Western Conference Southwest Division. Moreover, the team has its home marches at AT&T Center in San Antonio. The team is one of the four former members of the American Basketball Association (ABA) to progress in participating in the NBA after their merging in 1976 and is the only former ABA team to have taken the NBA Cup. In particular, Spurs gained NBA triumphs in 1999, 2003, and 2007, as well as in 2014. In the 2019-2020 season, the team had the biggest triumphant percentage between active NBA charters. The team’s mission statement aspires to give the highest quality sports and entertainment practices by treating each person like one family. Besides, the team’s vision aims at placing all its associates as a team and a family of sportspersons. This vision, therefore, uses sports to influence the community in a possible way, such as assisting the youth in gaining and progressing their basketball talents.
SWOT Analysis
Weakness Analysis
The SWOT analysis has identified two weaknesses of the business aspect of Spurs, and to begin with, is the institution’s incapacity to understand the needs of its customers. First, customer preferences entail expectations, likes, dislikes, inclinations, and motivations that enhance customer buying choices. These preferences complement the consumers’ needs in elaborating their customer conduct. For instance, a customer might require a shoe, which would imply that he or she would go for a product of a specific number and color. Nonetheless, when the company has a show of the size required by the customer but is of the wrong color, this might change the customer’s buying decision, forcing him to look for alternatives from other organizations. Thus, every business is expected to conduct research to recognize the customer’s wants and provide them. Still, when this fails, it translates as the organization’s weakness since it has failed to understand its consumers’ wants effectively. Spurs mainly deal in manufacturing as well as selling team jerseys. These products are of high quality and therefore attract many customers, but the challenge comes when the company’s commodities have only been created to be in limited colors. In other words, the jerseys sold by the team only have the colors that are official to the team. Customers, therefore, find themselves limited to a color variety of their choices.
Still, due to the lack of customer comprehension, Spurs’ management utilizes the idea of load management, affecting customer satisfaction. For instance, load management implies where managers rest main players strategically, to save them for more vital games later. Customers pay hefty cash to see their best players, as some of these players attract fans and customers. Nonetheless, Spurs overlook the needs of their customers and strategically rest their main players, and this impact is felt by customers, who feel they spent more money to pay for tickets and were never allowed to watch their key players in the game.
The other weakness that the organization depicts is limited inventory varieties. Inventory entails the items or commodities that an organization holds for sale to make a profit. The company only deals with jerseys, including hats, shorts, and shirts. The limited number of commodities the company engages in for profit, therefore, lies as its weakness.
Opportunity Analysis
One of the opportunities identified is enhancing market segments. San Antonio Spurs is based in the USA, but it has global popularity since it operates under NBA. Taking an organization to a global level enables it to diversify the markets, so the revenue sources remain stable, even if local activities are slow. As a successful and popular team in the NBA, Spurs has new markets in other parts of the globe, specifically in the European Union member states that embrace many sporting opportunities. Therefore, having the opportunity of unexplored markets will ensure that Spurs increases its market segments so it exports its commodities to its newer recognized regions.
Secondly, the world is technologically advancing, allowing Spurs to conduct its business online. The company has guaranteed that its commodities are available through its online shops. Therefore, Spurs’ has access to a wide variety of customers. The internet has proven to become a robust approach for enhancing the visibility of organizations, as conducting business online assumes the availability of physical borders. Spurs thus can see increased sales as the business can reach far markets that would otherwise not be accessed physically. In addition, using online platforms for its sales enables Spurs to experience minimized marketing costs. With the increase in internet usage, many social media platforms are designed to link people. Spurs thus enjoy this wave of interconnectivity via its online sales.
Final Suggestions
There are other viable options that the company might engage in, such as a sports club, and one of these items are energy drinks. In other words, Spurs has a limited number of commodities for its business, and it can enhance its inventory by starting the production of energy drinks and water. Individuals who successfully offer more commodities and services have various sources of income at their disposal (Eisman et al., 2020). These items can be sold alongside the jerseys, thus, enhancing Spurs’ base for profit. Moreover, tackling this weakness would also mean that the company will have a strong customer base. Customers who cannot purchase the jerseys will still have other options of buying clean water or drinking energy, either during or outside the game.
Moreover, Spurs need to enhance its customer preferences in its jerseys. For instance, the company can provide its customers unlimited tints and not restrict its products to the team’s jersey colors. Business leaders progressively perform customer research to recognize shifts within customer expectations by staying up to date on the shifting tastes as well as preferences, and they can create marketing campaigns plus commodities that align with the company’s target market as well as assist the brand to stand out from the stiff competition (Rastgar & Shahriari, 2018). By offering various color preferences, the company will attract a variety of customers who would purchase their favorite colors, different from the ones of the team.
Customer preferences are enhancing. Thus, one of the easiest ways Spurs can take is to partner with global organizations, such as Coca-Cola, to establish its energy drinks. Some of the pros of partnerships entail connecting the gap in expertise, and awareness, the possibility for increased cash flow, reduction in manufacturing costs, and increased business opportunity (MacDonald et al., 2019). Thus, by partnering with Coca-Cola, Spurs will benefit profoundly from the solid business level established by Coca-Cola.
References
Eisman, A., Kilbournebc, A., Dopp, A., Saldana, L., & Eisenbergf, D. (2020). Economic evaluation in implementation science: Making the business case for implementation strategies. Psychiatry Research, 283, 283. Web.
MacDonald, A., Clarke, A., Huang, L., & Seitanidi, M. (2019). Partner Strategic Capabilities for Capturing Value from Sustainability-Focused Multi-Stakeholder Partnerships. Sustainability, 11(3), 557. Web.
Rastgar, A., & Shahriari, M. (2018). From Shopping Centers’ Image to Purchase Intention with Perceived Value, Customer Satisfaction, and Customer Preference (Case Study: Shopping Centers in Semnan). Journal of Business Management, 10(3), 643–658. Web.