Weakness:

The one major weakness which can seen very clearly is that they have high financial leverage that is
hurdle for the company growth this weakness increase the risk of failure but PEL team is trying to
overcome this weakness by paying off their liabilities that’s why in 2020 company reduce its liabilities.

The second weakness of PEL is that it do less advertisement as compare to other brands as other brands
do more marketing as compare to PEL and very well known in rural areas too. PEL should focus on this
weakness and must change it into strength.

The third weakness of PEL is that they still not utilizing their resources because of financial issues and
the reason of this weakness is also that other departments of PEL is not utilizing resources according to
production department plan.

Opportunities:

Following are some major opportunities for the PEL:

One of the main opportunity for PEL is growing population of Pakistan. As this will become a major
opportunity for PEL because it will increase demand of PEL. As the number of houses will also increase
that’s why they cab get this opportunity with the help of their strength of offering wide range of
product.

The second opportunity for PEL is that Pakistani government is paying more attention towards
increasing the electrical projects this will give more orders to the PEL as they are already one of the
major suppliers of WAPDA and this opportunity will increase the market share more.

One of the main opportunity’s for PEL is that demand for home appliances is increasing day by day as
PEL provide that are need in all season and with more demand of home appliance they can move from
no. 2 to no.1 in market leader of home appliance.

Threats:

Following are some major threats to PEL:

Increase in Raw material Prices:

As PEL import many of its raw material from different countries and dollar price is increasing day by day
because of which raw material prices is increasing which can be a major threat for PEL as it will increase
the cost of company.

Complex Political situations:

In Pakistan political situations are changing day by day and tax regulations are changing which is
challenge for company to be stable in this kind of market

Strong Competitors:

PEL have strong competitors which include Haier and Dawlence and these two also working very well in
home appliances moreover their marketing is stronger than PE which is threat for PEL market growth.
Moreover, in competition of PEL not only local companies are involved but it also includes foreign
competitors because of the regulation of low duty on export product.

Depend on WAPDA:

PEL Major income is based on its contract with WAPDA so PEL have threat if WAPDA face financial issues
PEL ultimately face the issue which is threat for the company and must look into it as it is major threat
for PEL this can be overcome by making strategies on it.