SWOT Analysis for C.H. Robinson

Strengths

1. C.H. Robison contains a broad range of logistics services in the competitive logistics market, and it is the biggest strength of the company (Prairie).
2. The strength of C.H. Robison is the automation. The firm has integrated with technology to enhance the automation of logistics activities.
3. The supplier reliability has become a prominent strength of the company. It is the best source to reduce the supply chain bottleneck.
4. The firm contains the high brand image
5. The firm comes up with the high pricing power

Weakness

1. It does not own transportation providers.
2. Limited market growth affected the revenue and profitability of the firm as well.
3. C.H. Robison lacks the marketing process, as the positioning process is not up to the mark.
4. The switching cost for customers is quite low.
5. Inadequate financial planning limits the business expansion.

Opportunities

1. The merger and acquisition is a great opportunity for the company, as it can also be used as a key market entry strategy.
2. The business expansion in different Asian regions is a great opportunity to reach target customers
3. Demand for the automotive logistics services in the competitive market is increasing
4. Based on client behavior, several service categories can be made
5. It is a great opportunity to form a good relationship with local distributors to spread services effectively (Kennedy).

Threats

1. The technology has become outdated in the future, and it may cause big investments (Kennedy).
2. The sluggish economic condition is a big threat, as it creates barriers to business expansion.
3. The exchange rate fluctuation in the country is a big threat, as it can create an unfavorable impact on logistics service prices.
4. Increase in wage rate can also hit the business cost in different countries.
5. New arrivals with differentiated services in the logistics industry are big threats.

References

Kennedy, Patrick. “New C.H. Robinson system kept distribution moving during hurricanes, eclipse.” Start Tribune. Start Tribune, 23 September 2017. Web .9 November 2018. http://www.startribune.com/new-c-h-robinson-system-kept-distribution-moving-during-hurricanes-eclipse/446881763/.

Prairie, Eden. “Global Newsroom.” Ch Robinson. Ch Robinson, 27 July 2015. Web. 9 November 2018. https://www.chrobinson.com/en-us/newsroom/press-releases/2015/07-27-2015_ch-robinson-maintains-top-spot-on-inbound-logistics-3pl-list/.