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SURE-GROW FERTILIZERS
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SURE-GROW FERTILIZERS
SWOT ANALYSIS
Exhibit 1 Sure Grow Fertilizer Sales
Strengths
Sold 10 tonnes of micronutrients in 2002 Sold over 100 tonnes in 2003
Offering excellent customer service
Low turnover rate in regards to customer
Dealer for a company that sells a complete line of Micronutrients
Problem/Oppurtunity Recognition
Len Dow has noticed that profit margin is 6 percent and wants to see that number to be higher.
SWOT Analysis Weaknesses
- The total market for fertilizer in Sure-Grow's trading areas has been remarkably stable at approximately 50,000 tonnes for the past several years
- Purchase price for product and equipment is high to develop liquid nitrogen, There would have to be a capacity upgrade equipment cost of $16710
- Farmers are not aware of micronutrients benefits as university of Guelf doesn't recommend the use of the product
SWOT Analysis- Strengths Continued
- 500 tons of fertilizer sold in northern Ontario
- Northern Ontario Purchases in winter will not affect spring sales.
- Most farmers use University of Guelph to determine application rate and sure grow has a graduate from University of Guelph
- Offers two types of Micronutrients that caters to both dealers and farmers
- 100 tonnes of micronutrients was sold to dealers
- Use of the product results in a revenue increase of 2200% per acre
- Three dealers in Northern Ontario
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