Professional Documents
Culture Documents
IPMC Case Analysis - Vailoces
IPMC Case Analysis - Vailoces
SUBMITTED BY:
VAILOCES, MA. EMMA LUANNE
MM Cooperative Management
2016-66556
SUBMITTED TO:
ASST. PROF. LIEZEL S. CRUZ
COST 204 – COOPERATIVE ENTERPRISE DEVELOPMENT
11 MARCH 2020
2
I. POINT OF VIEW
This case analysis will consider the point of view of Marjorie Segurigan, the Chairman of
the Board of Indag-an Primary Multi-Purpose Cooperative (IPMC). Ms. Segurigan oversees
the overall business operations, and presides general assemblies and board meetings to present
her plan thus giving her the right to decide on how to map out IPMC’s development plan.
This case analysis will use both SWOT Analysis and PESTEL Analysis to clearly indicate
what are the Strengths, Weaknesses, Opportunities, and Threats of IPMC.
SWOT ANALYSIS
Internal Factors Strengths Weaknesses
The Board, along with the Chairman
Hablon products could be costly, because
M arjorie Segurigan, are proactive in
the cloth was handmade and production
terms of strategizing the coop’s growth
costs were high.
and development.
The cooperative had already stopped
production of mosquito nets and blankets
Barangay Indag-an has been a
due to the unavailability of cotton fiber –
community of handloom weavers thus
the basic material for these products -- in
weaver-members are not hard to find.
M iagao and the rest of the province of
Iloilo.
Tangible Resources Constant growth of the coop (from 70
IPM C’s hablon products could not be
members and a capital of P10,000 to 77
exactly differentiated from those of its
with 25 weaver-members and
competitors.
capitalization rose to P500,000.00).
IPM C’s hablon could only be put on
IPM C had a wide range of hablon exhibit and not for sale because the Asian
products. market preferred hablon made of natural
fiber particularly, cotton.
IPM C’s products were made of synthetic
IPM C is well-supported both by the
thread because cotton was no longer
government and private sector.
grown in the Visayan region.
The M unicipality of M iagao, Iloilo is IPM C is still using the traditional way of
Intangible Resources know to be the home of the Hablon producing hablon
3
PESTEL Analysis
PESTEL ANALYSIS
External Factors Opportunities Threats
o National government agencies such as the Department of Trade
(DTI) and the Department of Agriculture bought local looms and
provided loans to the weaver-entrepreneurs.
V. ANALYSIS
Resource-based Perspective
Resources that are valuable, rare, and difficult to imitate or substitute are considered
to be sources of sustained competitive advantage (Barney, 1991). When such resources are
bundled or combined, they can be mutually reinforcing, further differentiating the firm’s
capabilities.
The dimensions of VRIO are:
Value - How expensive is the resource and how easy is it to obtain on the
market (purchase, lease, rent..)?
Rareness - How rare or limited is the resource?
Imitability - How difficult is it to imitate the resource?
Organization, respectively arrangement - Is the resource supported by any
existing arrangements and can the organization use it properly?
5
VRIO Framework
Tool used to analyze firm’s internal resources and capabilities to find out if they can
be a source of sustained competitive advantage.
IPMC Hablon Products and their prices are reasonable given its
Value production cost.
Hard to obtain in the market given its small niche.
Based on the data given by the IPMC by looking into resource-based perspective, a
good business strategy for them is to improve their branding and explore other
alternatives to cotton. Given that they have a strong reputation and they are fully-
supported by the LGUs, IPMC will not going to have a hard time in terms of financial
support. However, their main concern might be the sprawling competition in the
municipality due to new entrants and every hablon business were given the same training.
IPMC should focus more on how to make their product attain competitive advantage as
opposed to competitors by boosting personal branding and opening to innovations.