Stage 1 : The Input stage
Internal factor evaluation matrix of real estate(town):
Key internal factors Weight Rating weighted score
Strengths
Suitable price 0.04 3 0.12
Maximum growth 0.06 2 0.12
Hospital facility 0.05 3 0.15
Free ambulance service for town people 0.07 3 0.21
Security system 0.2 4 0.08
Good level of confidence 0.06 3 0.18
Effective and productive Team 0.18 4 0.72
Weakness
New entrance 0.04 2 0.08
Lack of awareness in people 0.02 1 0.02
Weak promotional activities through websites 0.03 2 0.06
Absence of organizational policies 0.05 2 0.10
Motivational level of staff 0.2 1 0.2
total 1.00 2.05
IFE matrix
Opportunities:
Less competition in the city 0.07 3 0.21
International strategy for real town 0.06 4 0.24
Effective use of communication ways 0.2 3 0.6
Large inventory of property 0.36 4 1.44
Threats:
High level risk 0.15 2 0.3
Change of potential buyer preference 0.06 3 0.18
Legal modifications 0.1 2 0.2
Total 1.00 3.17
Competitive Profile matrix of Real estate:
Our company competitor 1 competitor 2
|
Critical success factor |
Weight |
Score |
Weighted score |
Score |
Weighted score |
Score |
Weighted score |
|
Reputation among buyers |
0.25 |
4 |
1 |
3 |
0.75 |
2 |
0.5 |
|
Location of property |
0.3 |
3 |
0.9 |
4 |
1.2 |
2 |
0.6 |
|
Property type |
0.06 |
3 |
0.18 |
4 |
0.24 |
4 |
0.24 |
|
Property value |
0.3 |
1 |
0.6 |
4 |
1.2 |
3 |
0.9 |
|
Customer services |
0.2 |
1 |
0.2 |
2 |
0.4 |
1 |
0.2 |
1.00 2.8 3.7 2.4
Stage: 2 The Matching Stage
SWOT Matrix
|
Strengths-S
|
Strengths Strategies |
|
Suitable Price of Property Maximum Growth of value in property Effective and Productive team to run the real estate town Maximum facilities and resources to ours customer in town |
More effective sales force Develop and apply more promoting strategies for property
|
|
Opportunities-O
|
Opportunities Strategies |
|
Less Competition around the city International strategies for real estate town Large inventory of property |
Develop strong strategies to counter the competitors throw market development Take advantage of increasing demand of property around the city. |
|
|
|
SPACE Matrix:
This is the space matrix look like:
Conservative +6.00 Aggressive
2.75 suggested strategy type
+1.00
-6.00 -1.00 +1.00 3.00 +6.00
Defensive competitive
high -6.00 Low
|
High
Market
Growth
Low
IE matrix:
EFE score
4.0 Strong average weak
1 2 3
Grow and build high
EFE 4 5 6 medium
2.46 Hold and maintain
7 8 9
Harvest or divest low
1.0 4.0 1.0
IFE 2.79 IFE score
Grand strategic matrix:
Rapid
market growth
|
|
Real estate
Quadrant 3 Quadrant 4
Slow market growth
STAGE 3 THE DECISION STAGE
Quantitative strategic planning matrix:
(QSPM) is a high level strategies management approach for evaluating possible strategies QSPM method for comparing feasible alternative action.
The ultimate goal of the QSPM method is to pick the right strategy to move forward with based on the information available at hand. If you would like to construct your own QSPM in order to make a sound decision on a given problem, consider following the steps below.
1 – Internal Factors
To get started on the process of constructing a QSPM, you are first going to develop a list of strengths and weaknesses from within your organization. What is it that you have within your organization which puts you in a position of advantage? What is it that you feel you are missing? Filling out a few points under both the strengths and weaknesses category will give you a great start to your matrix. Remember, as this point, you are only dealing with considerations inside of your organization. Both the strengths and weaknesses which you identify should be listed down the left side of a piece of paper – or down the left side of a computer spreadsheet.
2 – External Factors
In much the same way, you are now going to look outside your organization for opportunities and threats which exist in the market. Possible opportunities include a new market which is expanding, or the struggles of a competitor. On the other hand, threats can include strong competition or decreasing market prices. The external factors you identify should be listed further down the left side of your paper or spreadsheet.
3 – Strategy Alternatives
With all of your strengths, weaknesses, opportunities, and threats identified, it is now time to get into the process of outlining strategies. These are the strategies that you are going to be choosing from, with the help of the completed matrix. All of the strategies you wish to consider should be listed across the top of your matrix. You will obviously need to have at least two options in play, but you can have many more than that if you so choose. Under each strategy option, you will need to have room for three columns – a weight, an ‘attractiveness score’, and a total.
4 – Weighting the Factors
For each internal and external factor which you have included in your matrix, you will need to assign a weight. The weights are going to assign a perceived importance to each of the factors, so you will need to take time to think through how much influence each factor is expected to have in practical application. The weights of your internal factors should add up to 100%, as should the weights from your external factors. Expect to spend a bit of time on this step until you are happy with the weighting distribution you have established. When finished, you should have weights under each of your proposed strategy alternatives. Since different strategies are going to place different importance on your various factors, it makes sense to have unique weights for each alternative.
5 – Attractiveness Scores
Just as you did with the weights, you are now going to assign attractiveness scores for each factor, both internal and external. These scores are going to be on a scale from 1 to 4, where a 1 is equal to not attractive and a 4 is equal to highly attractive. If the factor in question will have no effect on the choice you are making, you can rate the attractiveness score as a zero. Go through the entire matrix you have created until all of your factors have both a weight and an attractiveness score.
Html=