COMPETITIVE ANALYSIS MODEL IN GARMENTS INDUSTRY: CASE STUDY OF PT. PAN BROTHERS, TBK
The purpose of this paper is to discuss the competitive analysis model in the garment industry in Indonesia through case study of PT Pan Brothers, Tbk. The paper provides results of analyzing forces in the company is knows as a producer of Line of Products produced by the company are “Woven Garments” such as Padded and Light Weight Jackets, Pants, Shorts, Casual Pants and Dress Shirt, etc.
The research use case study method that aims to present information in structured, factual, and accurate information on the object studied. Case study method is used to examine the forces that pushed industry to evolve; and to identify other strategic strengths faced by the company. The findings of this study show that five forces in the industry that pushed the garment industry are evolving. This paper also shows the results of the analysis of the competitive environment consisting of bargaining power of suppliers, bargaining power of buyers, potential new entrants, substitute products and rivalry amongst existing firms in the industry. Additionally, this study resulted in the identification of a number of strengths and weaknesses of the company based on the areas of finance, marketing, human resource management and operations of the company. The study also analyzed the value chain of the company to examine the linkage found amongst activities.
This study provides managerial impact to the company studied, namely: (1) the financial ratio analysis shows the company's financial performance is considered good and increased net income / net sales increased by 23.65% per year from 338.5 million USD in 2014 to 418 million USD in 2015; (2) marketing performance analysis shows the company's website has not empowered to maximum as e-commerce sales system is weak; (3) the production performance shows the procurement of raw materials are still imported from China and Guang Zhu; (4) human resources assessment and performance monitoring system still used a manual system.
This paper discusses a case study of the forces of the industry faced by PT Pan Brothers, Tbk. and displays the results of the analysis of the strengths and weaknesses of the company's financial functions, marketing, human resource management and operations of the company; as well as a number of opportunities that need to be captured companies and a number of threats that need to be avoided.
Keyword: Competitive Analysis, SWOT Analysis, and Garment Industry