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Strengths Weaknesses Analysis For Defense Company SWOT

Raytheon's SWOT Analysis Detailed Strengths

One of the fundamental strengths of Raytheon is its history. The company has been around since the early decades of the 20th century, and has regularly worked with different governmental agencies in both a covert and overt capacity since. As such, the company (which adopted its present name during 1959) (CorpWatch, 2007) is one of the more notable companies in the defense and aerospace industries. Its history adds to its reputation and, at this point, one can argue that its reputation influences its present regard in the business world.

Another definite strength of this company is its employees. The company has less than 100,000 employees. Moreover, it also has holdings and facilities in a worldwide capacity, which helps to keep its employment rates high. The primary boon associated with that number of employees is that the company has the manpower to keep pace with a production schedule that currently includes a number of weapons and aircraft utilized by the defense industry.

Another critical strength of Raytheon is its revenues. Due in part to its longstanding history and involvement with governmental and defense affairs, Raytheon regularly earns close to $20 billion dollars in revenues. With such revenues, the company is able to expand its presence globally, and even mask it -- as need be -- for certain purposes and on certain occasions. Moreover, such revenues enable the company to routinely compete with other governmental defense industry contractors for the top five positions in the world.

Finally, Raytheon has a number of subsidiary companies that enable it to maintain its hold on contracting work for the defense industry. Some of these companies have established significant relationships with governmental entities. For instance, Raytheon's subsidiary E-Systems is nearly interchangeable with the Central Intelligence Agency,...

Perhaps the only one existent is the bad press that the company has earned over the years for some murky, shadowy deals that surfaced before a public audience. The ramifications of such questionable if not outright illegal dealings are that the company has had to disseminate millions of dollars in fines over the years. Nonetheless, it would be difficult to cogently argue that the company does not have these millions of dollars to pay out to various federal and regulatory entities. Still, in the early part of the 1990's the company was caught in a number of sequential moves in which it had inflated the prices of its various goods and services. It was caught doing so with a radar contract in 1994, the price of its Patriot missiles the year before, and the price of missile testing equipment at the start of the decade (CorpWatch, 2007). In addition to the negative publicity it suffered during each of these debacles, the company also had to pay out nearly 10 million in fees for damages incurred by its dishonest pricing systems. Its penchant for paying out multimillion dollar fines dates at least as far back ass the late 1980s (CorpWatch). It is quite possible that the company has taken some strategic measures to ensure that it does not incur any more of these fines. Still, they are a part of its legacy that are viewed as a weakness rather than one of its numerous strengths -- although the company could have possibly simply improved in raising its prices unfairly without getting caught doing so.
Opportunities

One of the opportunities for Raytheon is the international strife that is characterizing current global relations. Specifically, the War on Terror presents an…

Sources used in this document:
References

CorpWatch. (2007). Raytheon. www.corpwatch.org Retrieved from http://www.corpwatch.org/article.php?list=type&type=13

The Associated Press. (2015). In purchase, Raytheon gets defense-grade cybersecurity. The New York Times. Retrieved from http://www.nytimes.com/2015/04/21/business/in-purchase-raytheon-gets-defense-grade-cybersecurity.html?ref=topics&_r=0

Sang-Hun, C. (2015). South Korea picks contractor to develop new jet fighter. The New York Times. Retrieved from http://www.nytimes.com/2015/03/31/business/international/south-korea-picks-lockheed-martin-and-korea-aerospace-industries-for-fighter-program.html?ref=topics

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