In our previous blog, we did a detailed SWOT Analysis of one of the world’s largest leading retailers, Walgreens. Here we will be doing an Elaborated SWOT Analysis of Abbott Laboratories
Abbott Laboratories has gained large success in its industry. It can improve its market standing by implementing the latest digital marketing techniques. As most people are using digital media it is easy for businesses to market their target audience. Thus digital marketing is essential for every business. If you are interested in learning what digital marketing is and how to use it to your advantage – check out our Free MasterClass on Digital Marketing 101 by the CEO and Founder of IIDE, Karan Shah.
Thus this makes us keen to know how Abbott Laboratories maintains a prominent position in the market. To understand that we have given a Comprehensive SWOT Analysis of Abbott Laboratories. But before we start with its SWOT Analysis let us learn about Abbott Laboratories as a Company, its products, competitors, financials, and more.
About Abbott Laboratories
Abbott Laboratories was founded by Dr. Wallace Calvin Abbott, in 1888. It has its headquarters located in Abbott Park, Illinois, United States. It caters to the Health care, Medical devices, and pharmaceuticals industries.
When Wallace Abbott founded the company he was a practicing physician and owned a drug store. His innovation of having his own company led to the existence of today’s well-known MNC; Abbott Laboratories.
Its famous tagline that it uses is “A Promise for Life”. Abbott assures that they are here for the people they serve in their pursuit of healthy lives. This has been the way of Abbott for more than a century—passionately and thoughtfully translating science into lasting contributions to health.
|Founder||Dr. Wallace Calvin Abbott|
|Origin||Illinois, United States|
|No. of Employees||109,000 (2020)|
|Market Cap||$194.05 Billion (2020)|
|Annual Revenue||$34.608 Billion (2020)|
|Net Loss||$4.495 Billion (2020)|
Products of Abbott Laboratories
Abbott Laboratories is one of the leading companies in the industry. It provides its customers with different products in the market. Following are some of the products that Abbott Laboratories provide:
- Diabetes Care
Close Competitors of Abbott Laboratories
Abbott Laboratories provides its products all over the thus it has to compete with many companies in the market. Following are some of the top competitors that Abbott Laboratories has to compete with:
- Johnson & Johnson
- Sun Pharma Industries
Now that we know about the company let us start with the SWOT Analysis of Abbott Laboratories.
SWOT Analysis of Abbott Laboratories
SWOT examination is an indispensable key arranging instrument that can be utilized by Abbott Laboratories administrators to do a situational investigation of the firm. It is a convenient method to evaluate the current Strengths (S), Weaknesses (W), Opportunities (O), and Threats (T) Abbott Laboratories is looking for, in its present business climate.
Let us now start with its SWOT Analysis by starting with the Strengths of Abbott Laboratories.
Strengths of Abbott Laboratories
Strengths are the factors that keep Abbott Laboratories standing tall in the market. They are the positive factors of the organization and it needs to keep improving them. Following are some of the strengths of Abbott Laboratories:
- Overall business activity and Global Presence – Abbott Laboratories has its presence in over 150 nations. It gives long-haul medical care items in both created and created markets everywhere. This helps them to cater to a large audience.
- Numerous talented representatives – It has countless labor forces, above 74,000 workers around the world. By and large, the organization workers have been given a rating of 4.1 out of 5.0. it is 5% higher than the normal rating, as per CareerBliss.
- A perceived brand in the industry – It is one of the most famous brands in the business. It has a long verifiable foundation, established in the extended time of 1888; 129 years prior.
- Consolidation and Acquisition – It has turned into a monster partnership in the business of drugs. Till now it has procured more than 40 organizations and made itself a monster in the business. As of late, it procured one of the organizations in the area, St. Jude Medical.
- Wide Experience in the business – Experience is the main thing in the clinical business as well as in any industry you can envision. As it has been working for a long time; it has fostered a solid encounter base. Abbott can apply this experience for its future venture and to present imaginative items.
Weakness of Abbott Laboratories
Weakness is the internal factor that affect the growth of Abbott Laboratories, thus it needs to take care of these areas in its firm and act accordingly to prevent such events. Following are some of the weaknesses that Abbott Laboratories has to face:
- Low reach in the global market – Items recorded on the site might be accessible just in specific nations. Thus restricts its reach in the countries which want access to their products.
- High obligation – The obligation segment in the fiscal summary is exceptionally high. Thus it might make a boundary to the monetary adaptabilities.
- Low R&D Expenses – After the year 2010, it has diminished its financial plan on innovative work fundamentally. It might result in a debilitating R&D division as R&D is essential to bring up new things in the business. This can impact the business negatively.
- Market Capital/Share – portion of the overall industry of Abbott Laboratories is at a declining stage. Till 2011, it was the sixth biggest drug organization in the business with 76B in market capitalization.
Opportunities for Abbott Laboratories
Opportunities are the factors that help the company grow from different angles in the market. The company needs to find these opportunities and make them their strengths. Following are some of the opportunities for Abbott Laboratories:
- New markets – Influence its center business skill and assets to make maintainable arrangements in nations throughout the world. Ir can also address wellbeing needs in immature and helpless nations to grow its reach.
- Securing and consolidation – It should prompt a bigger size of the organization and should offer a more enhanced arrangement of items.
- Item Innovation – Abbott Laboratories offers creative items and administrations. The most items across the clinical gadgets and diagnostics. The nourishment item divisions incorporate Similac, Ensure, Pedialyte, Glucerna, FreeStyle Libre, ZonePerfect, MitraClip, and I-STAT.
- Overall market presence – Abbott still has a wide area of the market to spread its products in. expanding its business in different countries will help them gain more customers.
Threats of Abbott Laboratories
Threats are the external factors that affect Abbott Laboratories growth. It needs to be aware of such threats in advance and make proper solutions to tackle them if they have to face any following are some of the factors that may be a threat to Abbott Laboratories:
- Government Intervention – Governments of various nations including the US turned out to be more limited and controlled on medical care administrations, enactment, and Medicare. This can be a threat to Abbott Laboratories if they don’t abide by different rules in different countries.
- Swapping scale Fluctuation – As it is a worldwide organization, it sells its items and purchases unrefined components from different nations too. A negative change in the swapping scale might carry damage to its benefit development.
SWOT Analysis helps Abbott Laboratories to get a wide idea about the company and helps it to analyze what it needs to improve and what it needs to take precautions of.
On the Study of the SWOT Analysis of Abbott Laboratories, we know that it is one of the largest Pharmaceutical Companies in India. It has well-trained representatives to attend to the customers and has an opportunity to grow in the international market which is now developing. Even with such advantages, it faces some flaws in the market.
It has a low reach in the global market and the government intervention in the business policies are some disadvantages to the business. It can eliminate some part of its weak points by implementing the latest digital marketing techniques. As most people are going online now it is the best method that a business can implement to grow in the market. Thus it is essential for every business to have a global presence which is possible through digital marketing. If you are interested in learning and upskilling, check out IIDE’s 3 Month Advanced Online Digital Marketing Course to know more.
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