The intersection of strengths and opportunities is a key indicator of what a company needs to focus on to be successful. It shows areas of overlap between a company's internal strengths and opportunities external to the market. So, SO strategy is the way to develop a strong competitive advantage.
LIJIANG Glass has strong brand awareness and customer loyalty, and it has unique insights and development capabilities in equipment product design, and aesthetics. Combining these factors (internal advantages of the business) with the increasing popularity of home improvement insulating glass doors and windows, glass curtain wall buildings (good market opportunity) is what led to the launch of the first Automatic Jumbo Size Double Argon-gas Filling Insulating Glass Production Line.
Combining Weaknesses Opportunities (WO)
The company has some weaknesses in this area, but it happens that there are viable opportunities in the market that require expertise in this area. Strategies in this category are those that focus on addressing organizational weaknesses to exploit opportunities.
Compared to other competitors, LIJIANG Glass has a relatively small product portfolio, which is one of its few weaknesses (although this may be debatable). When new opportunities arise in the market in the form of the latest trends, LIJIANG Glass is not always the quickest to take advantage of it. However, LIJIANG Glass has still made good use of the WO strategy in its commercial success. Large-format glazed buildings started gaining traction in 2016 and represent a strong market opportunity. Competitors such as Lisec/Forel/Bystronic launched automated production line equipment in this field in the next few years and achieved good returns. Subsequently, LIJIANG Glass overcame its own shortcomings, entered this market with its production line in 2020, and achieved success.
Strategies that Combine Strengths Threats (ST)
When the enterprise has certain advantages, but there are factors that pose a threat to the enterprise in the external market, which limits the use of these advantages. So, the purpose of a classification strategy is to take advantage of what can be exploited to bypass threats posed in the environment.
Some of the strengths of LIJIANG Glass are its customizable device product design capabilities and strong brand loyalty, which are earned with consumers. It uses these advantages to promote the use of its professional automated production lines in the home decoration glass market and curtain wall glass market. However, LIJIANG Glass is facing threats in some markets in Asia, Africa and Latin America. The local real estate market policy is uncertain and the frequency of glass processing orders is uncertain, which has led to the loss of income of some glass deep-processing enterprises. By making proper use of its advantages in product design and brand loyalty, a considerable number of glass deep-processing enterprises will continue to choose to purchase insulating glass production lines for expanded reproduction instead of waiting and hesitating.
Combining Weakness Threat Tactics (WT)
Threat strategies are designed to minimize the impact on the company while overcoming the negative impact of internal vulnerabilities. As you know, these tactics are usually defensive. They seek to protect the company from competition.
Since LIJIANG Glass launched the automatic film sorting and storage system in 2020, although the series of products has been upgraded many times over the years, they have not achieved commercial success. Its weakness is mainly limited in function and interconnection, and the degree of automatic connection is not high. Introducing and launching a set of ERP+MES information management systems belonging to LIJIANG Glass is a WT strategy to promote glass deep processing enterprises to realize digital management of all equipment as soon as possible. This is because it in part helps companies reduce their vulnerabilities and overcome growing threats.