Downtown East SWOT Analysis Downtown East was well-known in Singapore as an entertainment hub as it provides a variety of services. Food, Drinks, Shopping and Entertainment, all under one roof. However, in every business or organization, it will certainly have its strengths, weaknesses, opportunities and threats, therefore, our group would give a detail explanation on each of these aspects, helping the company to focus on activities where it is strong in, and where the greatest opportunity lies. We would first start off with strength.
Basically, strength refers to the good qualities or the strong points of the business. Downtown East is situated around many places of interest, therefore being able to create packages which will attract customers. Furthermore, it is currently the only theme park in Singapore where there is both water activities (Wild Wild Wet) and outdoor rides (Escape Theme Park). As Downtown East homes the only theme park in Singapore, Downtown East would definitely be the first choice that comes into the mind of people seeking for both thrills and entertainment.
Not only that, it also have many indoor activities such as arcades for children, teenagers and even adults. Therefore, Downtown East not only have outdoor entertainment, it also have indoor entertainment as well, thus, even on rainy days, people going to Downtown East could also have fun. Weakness is an aspect where the business should spend time studying on it and then work out for solutions to overcome it. The limited land area is a weakness to Downtown East.
As land in Singapore is expensive, Downtown East would find it hard to expand their land area to provide more entertainment for customers. Other than that, Downtown East is quite inaccessible. It is troublesome to get there because the only public transport to get there is by bus, thus, making it hard for the people in the west side of Singapore to go to Downtown east. Not only that, it is also expensive to maintain. For example, if equipment in the Escape Theme Park is faulty or spoilt, quite a large sum of money would be needed to either repair or even buy a new one.
People might get bored if the attractions are not change constantly and changing the attraction would mean the requirement of new equipments and this would in turn increase the expense of the business. Opportunity refers to the chances available for the business to grow. The government is promoting Singapore as a city of entertainment which will help attract tourists. For instance, launching the F1 grand prix is a move by the government to “broadcast” Singapore worldwide, thus, attracting people from other countries to visit Singapore.
As Downtown East had many facilities and is entertaining, investors may be interested to work together with them. Furthermore, more and more places of interest are being built (e. g Integrated Resort) to attract tourists to Singapore. Although this may be seen as an act to steal customers from Downtown East, the tourists coming to Singapore would not only come for Singapore for a specific area of interest but the various kind of places of entertainment Singapore offers and Downtown East may be one of them, thus, this could be seen as an opportunity.
Other than that, Downtown east is located at the east near the coast and the area there could be used to expand their business so as to introduce more facilities and entertainment so as to attract customers. Lastly, it is the threats. Threats would normally be seen as a pressure to the decrease of sales or revenue. Economic downturn is one of the threats which may result in people not willing to splurge on entertainment. As the economy is doing badly, salaries of the workers may be reduced and retrenchment would be common.
Reduced salary or no salary (retrenchment) would mean that less money would be available for living expenses, thus, people would save money and visit such entertainment places less frequently. Also, as mentioned in the previous paragraph, more places of interest are built to attract the tourists. Although it can be an opportunity, it can also be a threat to Downtown East if the tourists choose to go to other places of interests rather than Downtown East.