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Swot Analysis (Crayola)

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* Step 1: Identifying the organization’s mission, goals, and strategies.

The mission of the Crayola Company is to provide the costumer with safe, high quality, and age appropriate products. Since there brand’s beginning in 1903, they have ensured that there products are nontoxic and safe.

* Step 2: Internal analysis (Strengths and Weaknesses).

* Operations
* They are a global company, with a wide spectrum of individuals who use Crayola products all over the world. * Their products are available everywhere, including grocery stores, drug stores, Internet sales, hospitals, doctor’s offices, etc. * There target market is children age 2 to 12.

* In 1980’s sales began to decline due to increased competition and the company began to slip into saturation. * Resources
* Crayola is a recognized and highly trusted brand name and logo. * They have licensing deals with major children’s characters, including all Disney characters, and Nickelodeon characters, which increase their appeal to children.

* Finance
* Crayola still ranks behind in sales and market share in their marker product line. In 2007, Sanford Sharpie had a 31% market share, with sales (at Wal-Mart) of $56 million, while Crayola had a 22% market share, with sales of $37 million (at Wal-Mart.

* Step 3: External analysis (Opportunities and Threats).
* Competitors-Some of its competitors are dominating the market like Sanford Sharpie who sells almost the same product at a lower price. * General
* Economic-In the downturned economy, parents and schools are spending less on school supplies. * In July 2009 Crayola launched a school social media campaign on Twitter and Facebook. * Social Cultural-Crayola’s attempt to build a solar power plant was sidelined in 2008. They intended the power plant be used to help run their manufacturing SWOT Analysis Cont-

facility in Pennsylvania, however, they have run into problems finding partners to make it a reality. * On this past Black Friday Crayola gave away 250,000 boxes of Crayola crayons to early-bird shoppers at Toys R Us.

* Step 4: Formulating Strategies
* Match organizational strengths to environmental opportunities.
* Correct weaknesses and guard against threats.
* Step 5: Implementing Strategies
* Once Strategies are formulated, they must be implemented.
* Step 6: Evaluating Results
* Make sure that the strategies have been effective on helping the organization reaching its goals.

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