Guajilote is a growing company but the organization of this company does not have a solid foundation due to the political structure of Honduras. In Guajilote the quantity of mahogany wood was also limited and was threatened by forest fires, illegal logging and agricultural fires. The wood trade was even limited internationally. Guajilote was forced to accept a lower price for its wood due to the fact that there was only one distribution area. Most, if not all, Guajilote employees had more than primary education, and some were even illiterate. This made Guajilote's operations very difficult because if Guajilote employees were illiterate and uneducated, then the group knew little about the market or business practices. Santos Munguia put political pressure on the only distributor in the market and began to obtain better prices for shipping Guajilote wood. Even though Munguia turned the company around, he was often revered, feared and hated all at the same time. Munguia managed and made all decisions for Guajilote Cooperativo. Even if Munguia makes all the decisions and the employees are fine with it, other members of the cooperative should also be involved in the decision-making process. In this way the cooperative would not resemble a dictatorship. It was also said that Munguia paid himself and his second manager (his nephew) more than the other members of the cooperative.2. Conduct a SWOT analysis of Guajilote. A SWOT analysis is a powerful technique for identifying your strengths and weaknesses and examining the opportunities and threats you face. What makes SWOT particularly powerful is that, with a little thought, it can help you uncover opportunities that you're well positioned to take advantage of. By understanding your weaknesses, you can manage and eliminate threats that would otherwise catch you by surprise. Additionally, by looking at yourself and your competitors using the SWOT framework, you can begin to build a strategy that helps you stand out from your competitors, so you can successfully compete in your market. Strengths The only venture in Honduras: Guajilote was granted the right to exploit naturally fallen mahogany trees in the La Muralla buffer zone. Strong leadership: Santos Munguia negotiated the price increase for the timber exchange by putting policies in place Pressure on Suazo. Munguia's leadership played an important role in Guajilote's maturation in the workforce and in business. Relationship with employees: Thanks to Munguia's leadership, the quality of life of Guajilote members has improved and the bonds between each member have strengthened..
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