As we wrap up the initial portion of our look at the Strengths, Weaknesses, Opportunities, and Threats that face the Nashville Predators, today we're going to focus on Threats, those external factors that hinder the team from competing and succeeding in the NHL.
What is SWOT Analysis?
SWOT Analysis (Strengths, Weaknesses, Oppportunities, Threats) is a common tool used in the business world to assess an operating group and the environment within which it operates, in order to determine what steps are needed to help that organization achieve its goals. Just as one applies this tool to a factory or a sales force, it can be used with a hockey team as well.
This one should be an interesting list - what are the external forces that hold the Nashville Predators back from performing at their best as an organization? As is usual, I'll start us off with two suggestions, and look forward to your comments below:
- The rising Canadian dollar: one condition that must be met to qualify for full NHL revenue sharing is for the Predators to grow their revenue at a rate above the league average. A 10% increase in the Canadian dollar vs. the US dollar can add 2-3% to overall league revenues, however, raising the bar higher due to factors entirely out of the Predators' or the NHL's control. For a point of reference, over the last 12 months the Loonie has climbed roughly 20% against the Greenback.
- The "Boots" Del Biaggio bankruptcy: A significant minority position in the team is still held up in bankruptcy court, with no specific timetable for resolution. While David Freeman has said on multiple occasions that this doesn't impact the day-to-day operation of the team, this has to place constraints around longer-term issues like providing guarantees to the Metro Sports Authority, as well as overall financial planning. Thanks to last summer's Phoenix Coyotes saga, the NHL has asserted itself strongly as having the right to approve any purchaser of the Del Biaggio shares, but this is still an issue that lingers in the background.
So fill up the comments with your list of the Threats that lurk out there; over the weekend, I'll compile this list, along with the 3 from earlier this week, into a comprehensive picture of where the team stands today, and where they need to head going forward.