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......Thekey points relevant information: Merton Industries is a small organization with a limited ability to compete against established giants. This is important in an industry in which large retailers have created scale economies and small manufacturers compete in local regions and with a specific product offering. Creating our own distribution line involves risks and additional costs. Failure could mean the end of Merton and the path to bankruptcy. Wholesale distribution costs Merton 6 percent of their residential sales, but the sales staff at the wholesale retailers also handles vast logistics operations
TheSWOT Analysis:
Internal strengths: Merton Industries is a strong company that follows a sustainable ascendant trend within the United States rug and carpet industry; we also reveal strong financial highlights;
Internal weaknesses: we only operate within the U.S. and our abilities to register international sales and territorially expand our operations are reduced; low levels of marginal profitability
External opportunities: challenges of the past decade have reduced the number of manufacturers from 300 to 100, generating as such lower levels of competition;
External threats: there is an obvious trend towards hardwood floors in the detriment of rugs and carpets; the remaining manufacturers have overcome major challenges and are as such

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