SWOT Analysis: Boys And Girls Club

External environment can undermine an organization's competency to sustain its competitive advantage. Through the Boys and Girls Club (BGC), the mission is to empower American youth with the skills and resources needed to become "healthy adults, responsible citizens, and effective leaders" through a local fund. BGC becomes very familiar among Americans, which many have volunteered locally to improve the youth lives. However, the limited resources of money is BGC's biggest weakness. Each local BGC is not nationally funded; instead, it is funded through its nearby communities. With the existing campaign to raise funds for victims of natural disasters, BGC has faced many potential threats from the external environment. To overcome the threat to

Political and legal factors can have an impact the donation made to the organization. For example, any changes in tax policies referred to tax deductible of charitable donation might reduce people intensive to donate; thus, there is less money circulating within BGC. In the situation of economic crisis, the unemployment rate increases, resulting in a reduction of unessential spending. People will respond to the economic downturn by not joining any charitable events or limiting their choices of which organizations to donate. When considering the sociocultural factor, it includes demographic, income, and religious beliefs. Clearly, in the suburban area, there will be less donation amount to support its local BGC compared to the urban area. Moreover, in terms of income, people with higher the income have higher possibilities of donating. In certain religions, they believe donation is an act of goodness to "earn merit." Therefore, these groups of people will have a strong desire to donate. Despite these donations, BGC must acknowledge that not every religion has the same belief and not everyone will have those motives to donate. As technology becomes accessible to most of the people, the

By exploring Porter's five competitive forces model, BGC is not only focused on the threats imposed by the competitors but an industry as a whole. Five forces include risk of entry by potential competitors, rivalry among established companies, the bargaining power of buyers, the bargaining power of suppliers, and substitute products. Within the nonprofit organization industry, the barrier to entry and exit are low. It is easy for anyone to enter and leave the industry. This strong threat can depress the amount of donation made to BGC. As mentioned, the earthquake in Japan. Many nonprofit organizations will enter the industry hoping to gain the donation share by creating awareness through an emotional campaign. As a result, the focus of supporting locals has been heavily shifted to help the victims in Japan instead. Among existing nonprofit organizations, many are competing against each other to receive the most donations. The well-known organizations, such as United Nations Children's Fund (UNICEF) and Red Cross, have advantages over the BGC and other smaller ones, for they have the capabilities and resources to compete against other competitor organizations. For instance, UNICEF's strength is high cash flow. UNICEF has resources and capabilities to frequently mail a message with an attached envelope asking for donation to the people who had previously made a donation with them. This is