Callaway

Callaway

SWOT

Strengths

? Well known name
? Best-in-industry R&D
? Many pro golfers endorsing Callaway products
? Innovative
? Competitive nature
? Products made with strict procedures to ensure quality
? Seller-buyer relationships

Weaknesses

? Unfamiliar golfers using the products
? At times innovation goes too far, and provides a performance advantage, which leads to the PGA banning the product from play

Opportunities

? To maintain leadership in just about every aspect of golf products
? To get more people interested in golf

Threats

? Declining innovation gap between rivals
? Competitors gaining market share
? Less people buying golf products
? One word?"Nike"

5-Forces

Rivalry between competing sellers ? Strong ? As seen above, innovation gap is closing quickly and companies Nike, and Taylor made are coming out with their own fantastic products. Nike wants to take over the world someday; why not start with golf?

Firms in other industries selling substitute products ? Weak- What would a substitute for a golf club be; a hockey stick? Nah, that wouldn't work.

Potential New Entrants ? Moderate ? Moderate rather than strong due to the fact that a new company needs some innovation of their own to be able to compete with the goliath's of golf; a number of small companies on the other hand?

Competitive Pressures from Buyers ? Normal ? The clubs are usually sold in retail outlets, where the price you see is what you pay a lot of the time; not much in the way of direct selling. People will usually pay for quality; and that's exactly what Callaway sells.

Competitive Pressures from Sellers of Raw Materia ...
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