Question

Analyze Rayovac SWOT and give some recommendations.

Answer 1

The Rayovac Corporation has the popular demands of household batteries and high drain devices hence, the company seeks to fulfill the demand through more of technology push and having innovative ideas. Hence, the key strengths are – due to their expertise in the business, brands are recognized well in the market, good in marketing and more influential towards consumer batteries, diversified product strategies give boost in the stock pricing, global presence, productive distribution channels, strong operations and increased sales revenues. Whereas weaknesses are less focus on the few areas as compared to the more focused business areas i.e. operations are different and not focused, weaker marketing strategy yielding lesser marginal returns, less focus on R&D work, environmental impact. Therefore, the opportunities on Rayovac can work upon are – having more business acquisitions and market expansion to the places where it was not thought about such as China, Germany, etc., more focus on unrelated business diversification, and strategies to emerge as largest retailers. Hence, the threat remains with other market competitors such as Energizer, Duracell, recession in some of the areas, sales decline.

Here are some of the recommendations – Should focus on the product-based target marketing, offer highly differentiated and low-priced products based on the segmented market, More consumer based marketing effort, more distribution channels, more focus on benefits from wholesale business, analysis on the consumer behavior to understand the usage, more focus is needed to create and design management and market strategy for business sustainability.