Part III- SWOT Analysis

Products and services

Strengths
First to offer Luxury cruise locally

Onboard entertainment

Affordable package deals

Weaknesses
Limited packages

Accessibility of their products

Opportunities
Innovation of new products and

Threats
Other

services offered

Ability

to

destinations

Seldom offers super sale packages

alternative

for

transportation
develop

new

Season or weather

Development of low-cost airlines

Increase target market

Table 3.1 SWOT Analysis for Products and Services

Strengths
As 2GO Travel is the first to offer domestic luxury cruise and sea travel
experience in the Philippines, they arrange a variety of products that would
become their source of income for the company. A luxury cruise typically
consists of several onboard entertainments and activities, plus package deals
that are not just affordable, but also worth the pay. These products can be
accessed through the internet, in their company website as well as through
their thousands of ticketing offices found all over the country.

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Weaknesses
2GO Travels weaknesses mentioned on the table are correlated. It is
due the limited packages they offer since their products prices vary
depending on the season, duration, type of accommodation, and other
factors affecting the prices and how seldom they offer these packages.
Opportunities
Since a luxury cruise is quite costly, 2GO Travel has the opportunity to
innovate new products and services to be offered that will surely increase
their revenue. Considering that the Philippines is an island country and is
filled with diverse flora and fauna and undiscovered wonders, they could use
these advantages to develop new destinations through the creation of new
packages that would involve those destination. With the use of their
advertisements through magazines, social media, and radio, they could
increase their target market, thus more revenue.
Threats
There are two critical threats that will affect the number of passengers
availing their products and services. Those are their competitors which could
be other modes of transportation like air travel and the weather and season.

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Facilities and Amenities

Strengths
Convenient brand new facilities

Weaknesses
High maintenance cost for the

and amenities

Availability

onboard
Opportunities
Possible

facilities
of

new

entertainment

facilities

and

Threats
Accidental

amenities offered

Ability to increase price due to

exclusiveness

Expensive add-on amenities

damage

caused

by

guests

Depreciation of equipment and

facilities

Table 3.2 SWOT Analysis for Facilities and Amenities

Strengths
2GO Travel is one of the largest and premiere land and sea travel
provider in the Philippines. It is expected that their facilities, amenities, and
equipment are brand new and convenient to the passengers. And with this,
there are a lot of sources of entertainment available onboard for their
passengers.
Weaknesses
Their facilities may be one of their strengths, but it could also be a
weakness for them. Their facilities and amenities onboard need to be checked
and maintained regularly to ensure its functionality. In order for them to
sustain their facilities, they need to spend high maintenance cost for it. And
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another weakness is the expensive add-ons the passengers may avail

onboard.
Opportunities
Like with their products, they could turn their facilities and amenities
into an opportunity. They could try and add more to their current amenities to
provide a better service to their passengers. And since 2go Travel is the first
provider of cruise line-like travel, they have the competitive edge against
their competitors. With this exclusiveness, they can possible generate more
revenue by raising their rates fairly higher.
Threats
We provided two threats to 2GO Travels facilities and amenities: first is
the accidental damage that their passengers may cause while onboard the
vessel. And the second is depreciation of the facilities and equipment. These
will result to more expenses to them because they will be spending money to
be able to repair these damages caused by their passengers. Same with the
depreciation of their facilities and equipment because they will also spend
money to change or replace their depreciated facilities and equipment when
needed.

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Setting: Physical Attributes

Strengths
Regular maintenance

Permanence

Opportunities
Acquisition of larger cruise ship

Weaknesses
High cost of ship maintenance
Value depreciation of the ship

Limited resources
Threats
Rising cost of fuel

Attracting more passengers

Security
Table 3.3 SWOT Analysis for Setting

Strengths
For the physical attributes, we focused more on their vessels. Their
regular maintenance for their vessels is one of their strengths since it is a
tedious work and process. And the regular maintenance then leads to another
strength which is permanence. Since the vessels are well maintained, the
vessels are likely to have a longer durability.
Weaknesses
Their weakness also comes from the aforementioned strength. In order
to maintain their vessels, the outflow of their cash for the ship maintenance is
costly. Another is that due to the constant flow of time, the structure of the
ship decreases. Although their ships undergo regular maintenance, still, its
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strong foundation depreciates as it is used over and over again as they follow
their weekly travel schedule. It becomes a weakness for them since the raw
materials they use to build new large ships only come from limited resources.
Opportunities
The acquisition of larger cruise ship is another opportunity for 2GO
Travel to increase their revenue. Larger cruise ship means more space to
accommodate passengers. Since it is more spacious, passengers may have
the tendency to be more allured in availing their products for more
comfortable travel.
Threats
The economy might affect the cost of fuel which is the source of
energy of a ship to operate. Increase in cost may cause cutting of ship
operations. Also, the security of the ship might be threatened because it has
equipment/materials that are expensive and can be sold easily such as the
air conditioner, steel, boats, etc.

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Managerial Skills
Strengths
Corporate social responsibility

Weaknesses
Inefficiency of some crews

Anti-human trafficking

Well-trained managers and staffs

rules

New staffs for ship navigation

Trainings

Cleanliness/Maintenance

of

ship
Threats
Piracy

Opportunities
Recruitment of new employees

Conformation of staffs to the house

for

Emergency/ Typhoons

Employees loyalty

supervisors/managers
Table 3.4 SWOT Analysis for Managerial Skills

Strengths
2GO Travel makes sure that their guests welfare is protected. They
conduct precautionary measures especially for minors such as monitoring
their departure and arrival with required papers from parents and DSWD.
They also have experienced managers and qualified staffs for navigating and
operating the ship.
Weaknesses

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the

There are some of the crews that are not efficient to the operation of
the ship because they are not all monitored. Also, the maintenance of the
cleanliness of the ship is their weakness because of the number of
passengers sharing a common bathroom; it gets dirty after few hours.
Opportunities
Because of their expansion, 2GO travel requires additional employees.
With this, they get to hire new staffs, with new ideas that could help them
improve their operation. As a part of this, they also get to have new sea
farers for the ferry operations. They also undergo through trainings and
seminars for betterment and widening of strategies.
Threats
Sea travel is considered as one of the safest mode of transportation
but accidents are inevitable especially if it is by people. Piracy/ hostage/
robbery might occur during the trip, knowingly that there are a lot of tourists
on board. Also, fortuitous event such as typhoon might also bring harm to the
ship and to the guests during the trip. Next is the loyalty of employees; there
is always a possibility that their employees might leak the companys secrets
and strategies.

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Employees
Strengths
Experience

Serviceability

Efficiency
Opportunities
Team building

Weaknesses
Cultural diversity

Lean season

Threats
Evolving regulations

Travel privileges

Training for employee promotion

Leakage of company operations
Table 3.5 SWOT Analysis for Employees

Sea travel risks

Strengths
Experience is always present in the lists of strengths of any employee
and in the travel industry, it is very much regarded. 2GO travel employees
seem to possess such as they interact with various passengers aboard their
ship. Having experience gives them the advantage to solve any type of
situation without disappointing their passengers. This also emphasizes their
serviceability, or in other words, their ability to provide quality service
towards any kind of customer. The fact that some of their employees are
bachelor degree holders in the hospitality and tourism industry just proves
that they put into practice all of the things they have learned. Above all, with
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experience and serviceability intact, they have become employees with

efficiency that which the company values the most as part of their service
strategies and with that, they are fairly compensated.

Weaknesses
One thing that is not new in the service industry is cultural diversity.
Whenever new employees begin work, they are not always of the same origin
or nationality and religion. Some grew up in their own provinces, some are
used to the environment of Manila, or even some are migrants from different
countries. The probability of differences in opinions or beliefs or even social
practices is bound to happen and, thus, becomes a weakness. However, with
the right amount of control, they could manage to stay as a team to keep the
companys reputation. Another weakness source is during their lean season
because when they have less number of passengers, then they will incur less
profit for the company, hence, less income for all employees. It all depends
on the season of each destination but its manageable since 2GO Travel
features several destinations throughout the island country.
Opportunities
Conducting a series of team building activities for all employees could
help resolve their trust issues in one another as well as to keep them intact
and well organized while in the field of work. As for their travel privileges,
every employee of 2GO Travel is always granted their benefits in line with
work and not solely for them, but also for their own families. In addition to
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that, there is always an opportunity for employees who wish to aim a higher
position and with the right attitude and skills, they undergo training to asses
which of them are suitable for promotion.

Threats
The employees are always affected by any company and departmental
regulations set for them to follow. With the ever changing course of time,
there are rules that are bound to change every now and then that each of
them should conform with. Some of these rules may be against their will that
they would rather quit than to endure following it. However, that is not the
only reason, as there are many factors that can affect an employees
decision, such as the risks in sea travel operations. One is sure to act selfishly
when one values his or her life and not risk it for the satisfaction of
passengers. Nevertheless, customer service is always accompanied by risks
and that is one of the many reasons why it is difficult to become an employee
in the service industry. Lastly, a threat to any 2GO Travel employee is the
occurrence of leakage of the companys operations. The probability of this
happening is when a former employee leaks information regarding the
confidential operations of the company out in public. It does not only remove
an employee from his or her position in the company, but also disrupts his or
her credibility and reputation in the face of the companies or organizations
that would hire him or her to follow.

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39

Infrastructure
Strengths
Innovative design of ports

Cleanliness

and

orderliness

Weaknesses
Lack of management strategy in
ports

of

ports
Security
Opportunities
Additional facilities

Eco friendly infrastructure

Threats
Natural Calamities

Fortuitous events

Price increase of raw material

Table 3.6 SWOT Analysis for Infrastructure

Strengths
2GO Travel is popularly known for its innovative design of ports and
ships with its color combination of green and magenta which connotes
feminism. With the feminist approach of 2GO, it has successfully launched a
more enhanced water transport and attracted more tourist to travel by sea.
2GO travel provides cleanliness and orderliness in their ports to ensure the
comfort of their passengers. Sufficient chairs are provided and they offer
variety of activities such as massage, pedicure, etc., to keep them
entertained while waiting for boarding. 2GO travel ensures the safety of the
passengers with a strong security starting at their ports. The passengers go
through security checks such as X-ray machine upon entering the ports.

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Weaknesses
During peak seasons and holidays, there is a long line of passengers
which makes them most likely to be irritated. With the increase number of
people travelling by sea, the lack of management strategy of ports must be
developed.
Opportunities
2GO travel has been successfully known by travelers and has gained
big amount of tourist to travel by sea. With its growing revenue, they have
the opportunity to expand and add more facilities for the guests to fully enjoy
their travel.

2GO travel has the opportunity to reduce environmental

impacts of its ships by using eco-friendly infrastructures. They should

exercise energy saving activities such as new lighting systems, waste
management and gas cleaning systems.
Threats
2GO travel and their ports can be affected by inclement weather
conditions, natural calamities and fortuitous events. If these instances would
happen, passengers will most likely cancel their trips causing struggle to the
company. Expanding their infrastructure may acquire higher expense for the
company with the threat of price increase in raw materials.

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Availability of Technology
Strengths
Easy access via 2GO travel
website

Weaknesses
No Wi-Fi ashore

Weak mobile phone signal

Scan and shoot

Easy to contact
Opportunities
Software updates

Threats
Hacking of 2GO travel website

Technology innovation

Operation Improvement
Fast evolution of technology
Table 3.7 SWOT Analysis for Availability of Technology

Price increase of technology

Strengths
Providing easy access to customers, 2GO travel has a website providing
the contact information, online booking and payment. They also have
accounts in Instagram, Twitter and Facebook. One of the security procedures
of 2GO travel is the scan and shoot. Photos of passengers are being taken
before they enter the pre-departure area. 2GO travel can be easily contacted
through their website providing their email and contact numbers and they
respond quickly to their customers inquiries.
Weaknesses
2GO travel provides no internet ashore making this a weakness to the
company especially because internet has now become a necessity to people.
Weak mobile phone signal is another weakness for 2GO travel. Passengers
have a hard time contacting their loved ones aboard.
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Opportunities
They can develop and update their websites as well as their social
networking sites to communicate with their future customers. They may also
add special features and promote using their website. Opportunity for
technology innovation such as movie theater, gaming stations, Ipads as
menu in restaurants, and many more. This may entice the customers and
make their trip more enjoyable. 2GO travel may improve their operations in
terms of their engine systems. They can change their engines into advanced
ones for better and more safety operations.
Threats
One of the threats for technology is the possible hacking of 2GOs website.
The company will be greatly affected when this happens because their
website is where the passengers can book their trip and also promote their
packages. It one of the best means to communicate with their customers. The
increase of price in technology will affect the companys revenue. If the
demand of the technology is increased, the price will follow. With the fast
evolution of technology, the demand for newest technology is high.
Passengers are more interested with new technology therefore it is good to
have the latest to satisfy more the passengers.

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Prices/Rates
Strengths
Low Cost
High profitability and revenue
Opportunities
Improvement on promos

Weaknesses
No fixed rate
Seasonality
Threats
Price increase of commodities
Tax changes
Table 3.8 SWOT Analysis for Prices/Rates

Strengths
2GO travel is well-known for its low cost & money wise promos making
customers opt for their services since it is affordable and not heavy on the
budget creating their company renowned and famous. Since 2GO travel
offers affordable services many travelers choose their transport services
creating high profitability & revenue on their company
Weaknesses
2GO travel offers a wide array of promos where tourists can choose
from however they dont have a fixed rate, almost every single month they
change their package rates, so customers should regularly check their offered
promos before they book. Because of different seasons in various provinces
2GO arrange packages that would depend on the season of a certain
province.

Opportunities

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Although 2GO is well-known for its affordable promos theres always

room for improvement, they can add more services for the convenience of
their customers.
Threats
One threat for 2GO travel is the oil price hike. The never ending oil
price hike is a big threat for their company since they make use of fuel in
operating the engines of their ships. If oil price hike would continue they
would have to adjust their fees and may cause a big loss of customers that
cannot afford highly priced fees for sea travel. Another threat for 2GO is the
growing competition that is very apparent in their industry. There are growing
companies that also offers low-cost and affordable prices for sea travel and
sometimes its cheaper than what they offer which other 2GO patrons may
consider.

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Management of the Company

Strengths
Empowered employees
Excellent
Organizational

Weaknesses
Miscommunication

of

employees
Diversity of employees
Threats
Law suits

Structure
Opportunities
Empowerment of managers
Leadership Training
Table 3.9 SWOT Analysis for Management of the Company

Strengths
Employee empowerment is very evident in 2GOs Company, they treat
their employees well and they make them feel that within their company
everyone is a family.
2GO is a well-organized company, distribution of work is always organized
and they also have a very good reporting-relation within their organization,
everybody knows where to report and it makes their company organized,
avoiding miscommunication and misunderstanding within their organization.
Weaknesses
In every management, not all employees will always conform to the
regulations due to diversity. In line with the first weakness given,
miscommunication within the employees may arise due to the same reason.
It is inevitable but can be prevented.

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Opportunities
2GO Travel assures empowerment to their employees however
managers are not given that much attention. So they have the opportunity to
empower their managers. To be an effective leader, one must undergo
training in order to develop their skills and abilities to be able to contribute to
the company.
Threats
Law suits are considered as threat because it would affect the image of
the management and it would reflect in the company as a whole.

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