Casio SWOT & PESTLE Analysis

Strength

This section is available only in the 'Complete Report' on purchase.

Weakness

This section is available only in the 'Complete Report' on purchase.

Opportunity

1. Youth centric approach in launching new products: Casio has newly launched a women’s line of watches through which they hope to build on their current image in the watch industry. Because of being stereotyped as only adventurous watches, Casio has a huge opportunity to add more consumers in women and youth. Young people prefer more features and modern designs, their preference would most likely be along the lines of stylishness along with sturdiness. Fasttrack completely changed the youth centric watches game with its style but Casio can attack this audience from technology by introducing smart watches in line with other mobile companies. It also has a line of mobile phones that are currently available only in Japan, this area is also something that can be explored to be made worldwide. They can also use this technical expertise to build laptops or tablets like Sony and Toshiba. The advent of high quality compact digital cameras by Casio if well-advertised can be a huge asset. With the right direction, Casio has ample opportunities to stay on top.

2. Marketing and brand promotion: Casio has a great marketing team that mostly focuses on watches and cameras. When we open the Casio online website, the initial page has only watch options instead of showing the users all websites. While watches are clearly the most famous product, Casio has a great variety of goods in other products such as printers, digital calculators, electronic musical instruments, projectors, scanners, etc. which also have a huge market especially in offices. When marketed directly to offices, these products can be sold in bulk and make huge sales. While they have used extensive campaigns for watches, Casio can use the same kind of extensive marketing for its other products. They could do a trial run for office products for a period of 6 months to 1 year and try to bring in more organizations where supplies can be sold in bulk. Hence, with the right marketing these technically strong electronics could bring in as much sales as watches and cameras.

3. Adapting to new technology and creating new businesses: Casio has always been known for its innovation. It was the first organization to introduce time zones in its watches, before they had to set the time difference manually for other watch brands. However, in recent times it has not entered the smart phones or watches market aggressively. It has a smart phone brand in Japan; however, it is limited only to that geographic location. Making it world wide would bring in a lot more revenue as the smart phone market will only multiply. Another market with untapped potential is the video games market. Casio was the pioneer in video gaming and designing consoles. But they have not had any technical advancements in the recent time. Casio’s competitor Sony has launched he play station series which only has one competitor in Xbox. Casio already has the required technical expertise in this area so it could use this opportunity to grow in the field of video gaming as well. Creating new business by coming up with new technology after anticipating the prospective needs of customers has been an important fact associated with Casio. Following the global trends throws light on the potential needs that could arise over time. Casio has tapped into this and developed its business by providing new experience for users and creating new markets in the process.

4. Expand growth in timepiece and educational scientific calculator business: The significance of scientific calculator in educational institutions is a well-known fact. Casio has utilized its technical prowess in this area and uses a business model that partners with local influencers and incorporates feedback. At this time when education is transforming from paper to digital, they develop e-education business in regards to Tests and Textbooks.

Threat

This section is available only in the 'Complete Report' on purchase.

Political

1. Changes in import export policies: Casio is headquartered in Japan but is largely a global organization. That is why politics of several nations may alter the current functioning of the organization especially the import export policies. Casio has its research and development center in San Francisco, USA but its production supply is mostly from Southern Asia due to prices of manual labor as well as the cost of land. The policies of import and export changing may greatly fluctuate the costs of production. For example, with the current trade war going on between USA and China with several countries caught in the middle, several organizations including Casio have seen an increase in operating costs of the organization. Operating profits of Casio have decreased from 42k million yen in 2016 to 29k Million yen in 2018. While this is not solely caused by the political environment, the increase in steel tariff by USA might surely be a factor.

2. Impact of U.S. China trade war and geo-political instability: U.S. China trade has impacted major companies operating across the globe. As greater sales and production take place outside of Japan, the earnings and future outlook of Casio are dependent on the political, economic and legal environments of other nations. China’s economy has paced down due to trade frictions and as a result, has slowed the economy of Europe as well. Additionally, currency depreciation and political uncertainty have also affected the manufacturing sector in Japan which impacts Casio’s business.

Economic

This section is available only in the 'Complete Report' on purchase.

Social

This section is available only in the 'Complete Report' on purchase.

Technological

This section is available only in the 'Complete Report' on purchase.

Legal

This section is available only in the 'Complete Report' on purchase.

Environmental

This section is available only in the 'Complete Report' on purchase.