Golden Valley Real Estate

SWOT ANALYSIS

SWOT Analysis

Kenneth Boland

Foundations of Business

Kimberly Jones

SWOT Analysis

The business plan that I show to perform the SWOT analysis on was the Start-

Up Real Estate Business Plan for Golden Valley Real Estate. This is a business plan

for a company that had not yet been established and seemed to be the most

challenging. This plan appeared to be well constructed and provided a lot of information

that could be used for the SWOT analysis. Upon reviewing the business plan for this

proposed venture, I was able to identify information that would assist in me in

identifying the strengths, weaknesses, opportunities, and threats of the company I

chose.

The first
Also, the business owner is also part of this demographic group

which will allow her to better understand the customer 's specific needs. It was also

interesting to see that the company would leverage itself through private investment

and a limited number of loans. This will allow the owners to not become too burdened

down with debt early on. The business plan also seem to show that the company would

have enough capital to support operations until revenues reached an acceptable level.

The next area that I focused on was the weaknesses of the business. The

business plan stated that there will only be one full time employee. This could lead to

the company being unable to meet their obligations do to scheduling issues. It would be

very hard for one person to service more than one client at the same time. I also felt

that there confidence in being able to turn a profit in the first year was also a weakness.

It also seems that they are relying on one retirement community as their primary source

of new homes, condos, and retirement apartments. This will alienate potential
Some As the population

is living to a much older age, it would make sense that there would be sufficient

customer demand in the targeted market segment. Also, with the manager 's proven

history in real estate there should be no problem with her ability to keep her costs low

and improve the quality of the business. The knowledge and services that will be

offered to both buyers and sellers is thorough and specific. Most of these services will

be outsourced which will provide more time to focus on sales. The fact that the

business operates in an area of the country that is popular with retirees could present a

good opportunity for this type of business. As more and more retirees flock to Arizona

there will be a demand for housing. The owners knowledge and familiarity with both the

customer and the housing market will surely come in handy.

Finally, the threats that I recognized while performing this analysis were quite

clear. The real estate market is saturated with competition. As mentioned in the

business plan, there are two companies which are clear threats to this business. The

first company is a threat not only due to their track record of quality service but also