Business Strategy Unit III Internal Strengths And Weaknesses - 275 Words

Business Strategy Unit III: Internal Strengths And Weaknesses (Case Study Sample) Content: Business Strategy Unit III Name Institution Business Strategy Unit III Internal Strengths and Weaknesses One of Priceline’s strengths is the high level of efficiency in handling the consumers’ demands. The customers are allowed to determine the prices that they would like to pay for the services through an online platform. Additionally, Priceline has diversified its revenue sources making the firm a one-stop shop concerning the travelling needs of the consumers. Another strength of Priceline is the ability to maintain higher sales in the industry leading to increased profitability. One of the weaknesses is that there is a likelihood of making losses if the customers set a price that is lower than the cost of the service. Besides, Priceline relies on revenues from tours and travel which poses a risk to its cash flow in case of business interruptions. Priceline does not have its hotels and, therefore, it has to rely on the suppliers’ prices and services. Priceline’s Competitors Some of Priceline’s major competitors include Expedia, Orbitz World Wide, and Hotel.com. Notably, other firms that are a potential threat to Priceline’s ability to maintain a competitive edge include Facebook, Alibaba, and Google which recently introduced ‘Google flights’. (Priceline Group, 2017). The Effectiveness of Priceline’s Strategy The strategy that Priceline has adopted is effective as evidenced by the firm’s ability to maintain higher sales volumes compared t...