PROPOSED BUSINESS STRATEGY FOR SANGUN LAUNDRY

• Main Author: Satria Akbar Abbas, Muhammad
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/65642
• Institution: Institut Teknologi Bandung

Sangun Laundry has not fully utilized its operational capacity. Meanwhile, the customer pool of Delatinos Residential Area, Serpong, South Tangerang is underserved. A new business strategy that allows Sangun Laundry to serve a greater portion of the laundry service market with current operational capacity is needed. The approach to solving the above problem is through the analysis of the business environment before formulating a new business strategy. The external environment is analyzed using the PESTEL framework, Porter’s Five Forces, Cluster Analysis of customers, and competitor analysis. The internal environment is examined using Value Chain Analysis, Business Model Canvas, VRIO Analysis, and performance analysis. Qualitative interviews with its owner and customers, quantitative surveys of potential customers, and literature review are conducted to gather data for the analysis. The two environments are harmonized in SWOT analysis as the basis of strategy formulation, which uses Porter’s Generic Strategy, Diamond Strategy, and a new business model canvas. The results present Sangun Laundry’s operational excellence and the need for improving customer service. Sangun Laundry excels in cost-efficiency and quality reputation by virtue of its honest staff, operating station, operating vehicles, and laundry chemicals. On the other hand, underutilized operational capacity, lack of branding, and manual financial recording hinder its progress. Low bargaining power of buyers, rising purchasing power, and raised health awareness imply higher future demand, even though threats from tight rivalry, health protocol ignorance, laundry appliance innovations, environmental disobedience, and quality mishaps exist. Sangun Laundry should carry out differentiation strategy, in which pick-up delivery and customer service become the value propositions, and target the customer segment dominated by workers aged 36-55. Hiring a customer service staff, who would adopt a partner CRM software, is a required vehicle. Customer service will become a new key activity that strengthens brand perception and customer’s sharing intention.