Munch Cupcake's SWOT analysis identified several strengths, weaknesses, opportunities, and threats. The company's strengths are its use of creativity and unique decorations as well as high-quality ingredients. Weaknesses include price sensitivity in rural areas and lack of brand recognition. Opportunities exist in new technologies to increase production and improved rural infrastructure. Threats come from competitors in the cupcake market and rising sales of substitute products like bread.

1. BUSINESS ANALYSIS
SWOT Analysis
SWOT analysis is the identification and evaluation of a firm’s strengths, weaknesses,
opportunities and threats. Here are the evaluations of our company.
Strengths
1. Creative
We use our imagination and creativity to do what is considered impossible by most
people. All the cupcakes’ decoration come in variety with customers’ preferences.
2. Special ingredients
We only use the best of natural ingredients to deliver a unique flavor rather than using
artificial ingredients. The secret of our taste and quality is in the superior quality of
our ingredients that allows us to make the best cupcakes in the country.
Weaknesses
1. Price sensitive for rural customers
Some of our customers in rural area come from lower income group and cannot afford
to purchase our product.
2. Unwell-known
Since Munch Cupcake is a new company in the industry, our product is still unknown
by people and sales are not encouraging.
Opportunities
1. New technologies
With the latest technology, we can reduce the human labor and substitute with
machines. This will increase the production of cupcake and speed up the production
rate.

2. 2. Improved infrastructure in rural area
The improvement of infrastructures in rural area for instance, more new shops and
road make us easier to deliver our product to be consumed by rural customers.
Threats
1. Competitors
Current and potential competitors are major threats for our Munch Cupcake. Many
cupcake shops have been opened and this will increase the competition.
2. Rising sales of substitute product
Our sales have been declining lately because bread has substituted our cupcakes and
decrease the demand of our product.