Pa ge 1 Pa ge 73 American Journal of Economics and Business Innovation (AJEBI) What is the Development Strategy for a Service-based Business? Otong Karyono1* Volume 1 Issue 3, Year 2022 ISSN: 2831-5588 (Online) DOI: https://doi.org/10.54536/ajebi.v1i3.824 https://journals.e-palli.com/home/index.php/ajebi Article Information ABSTRACT Received: October 23, 2022 Accepted: November 11, 2022 Published: November 27, 2022 This study aims to map out how to develop strategies for service-based businesses to take advantage of opportunities and maximize the role of resources by anticipating weaknesses and threats. This research was conducted on a service-based business. The research method used is descriptive qualitative, with research subjects being business owners, employees, and some consumers in the laundry business in Watampone City. The analytical technique used in this research is SWOT analysis (Strength, Weakness, Opportunity, Treatment) as an alternative mapping strategy that will be implemented in future business development. From the results of research using swot analysis in the laundry business in Watamponen City, implementing a laundry business development strategy has excellent prospects and opportunities, so the strategy that is considered suitable is based on the research results using a Growth-oriented strategy. Keywords Service Business, Strategy Development, SWOT Analysis. 1 Department of Business and Economics Sharia, Institut Agama Islam Negeri Bone, Indonesia * Corresponding author’s e-mail: otong.karyono@iain-bone.ac.id INTRODUCTION The service industry is one of the business fields that focus on service, so in its implementation, the service industry focuses on customer satisfaction. Customer satisfaction will be created from how much benefit is received or felt by the customer compared to the sacrifices incurred. The vital role of the service industry today dramatically affects the dynamics of an increasingly competitive business because services are an effort to meet customer needs and provide satisfactory service to customers among the quite competitive competition. Competition in the service industry in this digitalization era is very complex, along with the increasingly critical customers in assessing whether a service is a quality or not. Business defense against increasingly competitive dynamics for the service industry and other industries. The key word in strengthening and maintaining competitiveness in the competitive era is the strategy (Stephen P Kaufman; A Steven Walleck, 1980). This statement is reinforced by several research results which show that strategy is a tool that is considered effective in building competitive advantage (Abdulwase et al., 2021; Maryani & Chaniago, 2019; S et al., 2021). More specifically (Milano, 2021) states that one way to create a competitive advantage is to make your product’s features or benefits superior to your competitors. Problems in small and medium-sized businesses, based on products and services, are lack of business capital, lack of knowledge about how to develop a business, lack of product innovation, and lack of understanding of digital marketing and bookkeeping factors manual (Luthfa, 2021). Highlighting the problem of lack of knowledge about how to develop a business, this research will try to contribute empirically to conducting business development studies in small and medium-sized enterprises by identifying external and internal factors as inputs in strategy assessment. The development of business strategies in the service industry in the current era is a concern for researchers because business development will become a driving force or motivation factor for business actors in determining future strategic steps. Previous researchers who were interested in conducting studies on business strategies in small and medium enterprises, such as those conducted by (Abdillah et al., 2018; Raymond & Bergeron, 2008; Sawangchai et al., 2018), each conducted research on strategy formulation in developing alternative strategies for small and medium enterprises. The difference with the research that will be carried out lies in the aspect of the study and output, that the research to be carried out will try to provide empirical confirmation regarding the identification of business opportunities in the service industry by paying attention to and analyzing external and internal environmental factors so that this will make it easier business actors in carrying out their strategies following the research results. A laundry business is a business whose core business is customer service. The core business of laundry is the activity of washing textile materials or a place to wash textiles. This business activity is very much needed by people with a dense activity so that an alternative community can use this laundry service. However, this business is because it is easy to practice, resulting in higher competition. This is also felt in the laundry business in Bone Regency, South Sulawesi, which shows increasingly competitive competition in the Laundry business, whether the business can still grow by taking advantage of opportunities and strengths and minimizing existing weaknesses and threats. Therefore, this study aims to map the potential and opportunities of https://doi.org/10.54536/ajebi.v1i3.824 https://journals.e-palli.com/home/index.php/ajebi mailto:%20otong.karyono%40iain-bone.ac.id?subject= Pa ge 74 https://journals.e-palli.com/home/index.php/ajebi Am. J. Econ. Bus. Innov. 1(3) 73-81, 2022 the laundry business in a very competitive environment for the future. Therefore, the role of this research is significant as an empirical reference on how a business can survive and have a competitive advantage so that it can continue to meet customer needs. The maximum is to meet customer satisfaction, ultimately providing added value for customers and enabling the business to survive in an increasingly competitive business environment. LITERATURE REVIEW Strategy, according to Porter, is a tool to achieve a competitive advantage. Strategy is a joint means to achieve long-term targets. Strategy can also be regarded as an action potential that, in its implementation, requires managerial decisions in allocating or deploying relatively large amounts of resources. The strategic importance of its position in a company because the strategy can affect the company’s development in the long term, for example, for the next five years, so it can be said that the strategy is always oriented to the future. The strategy has multifunctional or multidivisional consequences and must consider the company’s external and internal factors (David, 2011). Hamel and Prahalad argue that strategy is an action that has an incremental (increasing) and continuous nature and is carried out based on aspects of what customers expect in the future (Umar, 2005). Strategic planning always begins with the question “what can happen,” not “what happens.” The speed of new market innovation and changes in consumer patterns must require core competencies, so companies must look for core competencies in their business. Strategy is a comprehensive plan of how the company will achieve its mission and goals (Thomas L. Wheleen and J. David Hunger, 2010). The strategy will maximize competitive advantage and minimize competitive limitations (Thomas L. Wheleen and J. David Hunger, 2010). In conclusion, the strategy is a series of decisions and actions implemented to win the competition and achieve company goals. Business development is the commitment of business actors to achieve the desired growth pattern through profit acquisition from new or existing customers. A business development strategy is a process used to identify, maintain and acquire new customers and capture business opportunities to achieve maximum business growth. The scope of business development will differ from one company to another; this depends on the business model implemented. Eight strategic steps in the business development process are considered adequate, as quoted by (Redaksi OCBC NISP, 2021), including: Building a Brand A brand or brand is a sign associated with a product. A brand has a purpose as a differentiator between a product and other products, making it easier for consumers or potential consumers to recognize the products to be sold. Therefore, to get the public’s attention, it is imperative to increase consumer awareness of a brand. One way is to be diligent in introducing brand identity to potential consumers through social media. Increase Capital For a business development plan to run smoothly, adequate capital is needed. Capital is needed to fulfill several things, from increasing production capacity to maximizing promotions to increasing sales. Several alternative ways can obtain additional capital, including savings or selling assets. Another step is to apply for credit from the bank. Third, ask for financial support from investors. The Right Sales Strategy The business development strategy cannot be separated from the sales strategy used. Several sales strategies are commonly used today. One buys a market share, selling the same product to the same people. In this case, three things will be compared: quality, service, and price. Another sales strategy is hunting for new customers (hunt) or managing existing customers (farm). Hunting for new customers requires much effort because you must introduce the product from scratch. Meanwhile, managing old customers is the easiest and most likely way for business owners. Visible Expert with Content Marketing One strategy to develop a contemporary business is visible experts using content marketing. This strategy aims to make one or the entire team look like experts in their field to potential customers. This business development strategy is very effective if you apply it, especially to service businesses such as agencies or outsourcing. One way for the visible expert strategy to work is by writing, speaking, or uploading content that discusses expertise/ business and how the shared content can solve client problems. Many experts have built their reputations with this strategy so that their business brands become strong and known by potential consumers. However, executing this strategy takes a good part of a would-be expert’s career. One example of the implementation of this strategy is being a speaker at various webinars, being a guest writer on reputable sites, to sharing freely on social media about expertise. Even today, many experts have turned to social media such as YouTube. Optimizing SWOT Analysis Although it sounds classic, the SWOT (Strength, Weakness, Opportunity, Threats) analysis method is still quite relevant for business development. This method can be used to determine a company’s current conditions. Strengths are various strengths owned by the company and can have a positively impact. Weakness is a weakness owned by the company and harms the company’s development. Weaknesses should be improved so as not to hinder the company’s progress. Opportunity is an opportunity that can be optimized by the company so that it survives in the market. Threats are threats that can hinder https://journals.e-palli.com/home/index.php/ajebi Pa ge 75 https://journals.e-palli.com/home/index.php/ajebi Am. J. Econ. Bus. Innov. 1(3) 73-81, 2022 the development of the company. Knowing these four things will make making effective and profitable decisions easier. Join the Community Currently, there are many communities or business forums initiated by entrepreneurs. A business can join the community to get information, share, and establish relationships. It is not impossible, and a well-established relationship can be a gateway for business collaboration to reach new business consumers and develop the business. Participate in Charity Events The following business development strategy is to participate in charity events. One of them is being one of the sponsors to make the event a success. In addition, it can also help victims experiencing disasters, be it natural disasters from earthquakes to forest fires. Not only financially, but the company can also help by sending an emergency response team in the company if there is one. Indirectly, these things will impact increasing the brand of a business. Innovate If you want your business to grow, another step that should not be ignored is to innovate. Business innovation can prevent loyal customers from switching to other brands while attracting the attention of new consumers. New things embedded in innovative products are expected to increase the interest of potential buyers. However, innovation should not be carried out at random. There must be careful consideration and calculation so the user will need the innovation results. Well, the principal capital to innovate is research and customer data. Based on the description above, this research is focused on how to develop a business by maximizing SWOT analysis. Based on the information above, although the SWOT analysis is a classic analysis, in practice, it is still essential to do, considering this analysis is very relevant in assessing and identifying external and internal factors so that, in reality, this analysis can adapt to a dynamic environment. Based on the description above, building a strategy in this study, a SWOT analysis is used. Previous researchers have used SWOT analysis to study empirically, from strategic planning to choosing alternative strategies for large-scale and small-scale businesses (Dilfuza Ilhomovna, 2021; Hashemi et al., 2012; Wardhani, 2020). Based on previous research, this research focuses on building and developing a business through SWOT analysis to analyze how many opportunities and strengths are owned and how to anticipate weaknesses and threats. Conceptually and theoretically, SWOT analysis is a strategic planning method used to evaluate strengths, weaknesses, opportunities, and threats that occur in a project or a business venture or evaluate own product lines or competitors. To perform the analysis, the business objectives are determined or identify the object to be analyzed. Strengths and weaknesses are grouped into internal factors, while opportunities and threats are identified as external factors (Rangkuti, 2014). Pearce and Robinson’s SWOT stands for the company’s internal strengths and weaknesses and the opportunities and threats in the environment facing the company. SWOT analysis is a systematic way to identify factors and strategies that represent the best fit between them. This analysis assumes that an effective strategy will maximize strengths and opportunities and minimize weaknesses and threats. When applied accurately, this simple assumption profoundly impacts the design of a successful strategy (A. Pearce II, John dan Richard B. Robinson, 2008). This analysis can logically help in the decision-making process. The decision-making process is related to the company’s vision and mission as well as the company’s goals. So SWOT analysis can be used as an effective tool to analyze the factors that affect the company and as a decision- making process to determine the strategy. Figure 1: SWOT Analysis of a Company https://journals.e-palli.com/home/index.php/ajebi Pa ge 76 https://journals.e-palli.com/home/index.php/ajebi Am. J. Econ. Bus. Innov. 1(3) 73-81, 2022 • Quadrant 1: This is a very favorable situation. The organization has opportunities and strengths to take advantage of current opportunities. The strategy applied in this condition is a strategy that supports an aggressive growth policy (growth-oriented strategy). • Quadrant 2: Despite facing various threats, the organization still has internal strength. The strategy applied is to use strength to take advantage of long-term opportunities using a diversification strategy (Product/ Market). • Quadrant 3: The organization faces enormous opportunities but, on the other hand, faces some internal constraints/weaknesses. This organization’s strategy focuses on minimizing the company’s internal problems to seize better opportunities. • Quadrant 4: Quadrant 4 shows a very unfavorable situation; the organization faces various internal threats and weaknesses. Immediately find a strategy to survive (defensive) Wiradhana dalam (Haerawan & Magang, 2019; Wattimena, 2017). Furthermore, another source mentions an example of a SWOT analysis matrix. SWOT Matrix is a tool used in compiling the organization’s strategic factors. This matrix clearly illustrates how the internal opportunities and threats can be adjusted to their internal strengths and weaknesses. This matrix can generate four sets of possible strategic alternatives, as shown in the following table: Based on the SWOT Matrix, the following 4 strategic Table 1: SWOT Matrix EFI / EFE Strength (S) (Determine the internal strength factor) Weaknesses (W) (Determine internal weakness) Opportunities (O) (Determine the external opportunity factor) Strategi SO List of strengths to take advantage of the opportunities that exist Strategi WO Register to minimize weaknesses by taking advantage of existing opportunities Threats (T) (Determine external threat factors) Strategi ST List of forces to avoid threats Strategi WT Sign up to minimize weaknesses and avoid threats steps are obtained: • a) SO Strategy. This strategy is made based on the organization’s way of thinking, namely by utilizing all strengths to seize and take advantage of opportunities as much as possible. The SO strategy uses the company’s internal strengths to take advantage of external opportunities. • b) ST strategy. This strategy uses the strengths of the organization to overcome threats. ST strategy uses the company’s internal strengths to avoid or reduce the impact of external threats. • c) WO Strategy. This strategy is implemented based on the utilization of existing opportunities by minimizing existing weaknesses. WO strategy to improve internal weaknesses by taking advantage of external opportunities. • d) WT strategy. This strategy is based on activities that are defensive in nature and seek to minimize weaknesses and avoid threats. WT strategy aims to reduce internal weaknesses by avoiding external threats MATERIALS AND METHODS The qualitative research method is a research method based on the philosophy of postpositivism, used to examine the condition of natural objects (as opposed to experimentation) where the researcher is the key instrument, data collection techniques are carried out by Triangulation (combined), data analysis is inductive/ qualitative, and the results of qualitative research emphasize meaning rather than generalization (Sugiyono, 2015, p. 9). The method used in this research is qualitative. The qualitative research method is a research method based on the philosophy of postpositivism, used to examine the condition of a natural object (as opposed to an experiment) where the researcher is the key instrument, the data collection technique is done by Triangulation (combined), the data analysis is inductive/qualitative, and the results of qualitative research emphasize meaning rather than generalization (Sugiyono, 2015). This study uses a descriptive qualitative research approach, and as an analytical tool, a SWOT analysis is used to process and produce a strategy formulation. In this study, observations on the laundry business unit in Watampone City, Indonesia, are both business situations, business locations, business activities and activities, owners and employees in the work process in the laundry service business as well as observing interactions with consumers, this research is an implementation of a SWOT analysis that will be implemented in laundry service businesses in Watampone City including Bunda Laundry, Hail Laundry, King Laundry Bone, Oxygen laundry, Daeng Laundry, Laundry Barokah 313, Armi Klin Laundry Bone, Laundry Dede, Aliyah Laundry, Family Laundry, Laundry 27 Dry & Clean, Ambo Laundry, Nurul Laundry, Myka Laundry, and Citra Laundry, all of which are located in Watampone City, Indonesia. Analysis in the laundry service business research, while the unit of observation is the owner, employees, and also the situation and condition of the laundry service business, as a source of information that can be extracted information about things needed by researchers. To test whether the data obtained is valid or not then, it is necessary to do testing; the test used is Triangulation. Identification of the internal and external environment in the laundry service business needs a particular https://journals.e-palli.com/home/index.php/ajebi Pa ge 77 https://journals.e-palli.com/home/index.php/ajebi Am. J. Econ. Bus. Innov. 1(3) 73-81, 2022 approach to obtain objective information. At the same time, the nature of this research is a case study, wherein the object of research some cases need to be solved, and for that, it needs to be explored in depth. The types of data used are primary data and secondary data. Primary data is obtained directly in the field, either in the form of interviews or filling out questionnaires conducted by research informants. Secondary data is used as supporting data in the form of company statistical data documents, books, journals, or other information related to research. Informant determination techniques must meet several criteria, which are explained as follows: • 1. The subject has long and intensively integrated with the laundry service business activities, • 2. the subject is still fully and actively engaged as a laundry service business entrepreneur, • 3. the subject has time and providing opportunities to be asked for information about laundry service businesses, • 4. Subjects in providing information as it is, honest and not fabricated or engineered by Spradley in research (Inayati et al., 2018). Data collection techniques were conducted by conducting initial observations and interviews, filling out a list of statements, and collecting the required documents. Analysis of the data used in this study with qualitative methods and using SWOT analysis. According to (Rangkuti, 2014), the SWOT analysis is the result of systematically identifying various factors to formulate how the opportunities for developing a laundry service business strategy can be carried out as follows: • 1. Identifying internal and external factors, weighting, and ranking. The weight multiplied by the rating of each factor gets a score for that factor. • 2. Determine the weight based on the contribution of the influence of the strength or weakness on the achievement of the company’s goals and mission or vision. The greater the weight, the higher the contribution/ influence on achieving the goal of making a laundry service business development strategy. • 3. Determine the branch by comparing the position of each factor with the leading competitors. Strengths and Weaknesses rating values and opportunities, and threats are always contradictory in assigning values to strengths and weaknesses. SWOT analysis, based on the score obtained, whether there is an opportunity (positive value) or threat (negative) and whether the strength factor outperforms (+) weakness (-), then we get four recommendation quadrants. • 4. Performing the analysis stage, the values of internal factors and external factors are described in the form of a SWOT diagram; the next weighting score shows the position of the laundry service business quadrant. All information is compiled in a matrix, then analyzed to obtain a suitable strategy for optimizing efforts to achieve effective, efficient, and sustainable performance. • 5. Decision-Making Stage. IE Matrix (Internal External) is a portfolio matrix that promotes laundry service businesses in a 9-cell display. The position is determined from the results of the IFAS and EFAS analysis. The total score from the IFAS matrix on the X axis and the total score from EFAS on the Y axis. The results of this IE matrix will be the basis for making decisions to determine the right business development strategy in determining future opportunities for the laundry service business. RESULTS AND DISCUSSION The stages in developing a strategy for a service-based business are the same as those of a product-based business. However, the most fundamental difference is related to the final product received. Companies based on products are tangible, and services are the value of the benefits obtained from these service providers. At the same time, the processes in business development have one thing in common: how to survive in a dynamic competitive environment. The initial stage in developing a strategy for a laundry service business is to map external and internal conditions obtained from direct observation or a study of the literature related to the research theme. The external and internal factors successfully identified by researchers are as follows. Table 2: SWOT Analysis on Laundry Business Strength a) Quality and service to consumers b) Conducive work atmosphere c) Supervision of work processes d) Shuttle service e) Have a complaint number Weakness a) Not yet using sophisticated technology b) Financial management that has not been well organized c) Lack of promotion d) Location is not strategic e) Lack of human resources Opportunity a) Changes in people’s lifestyles b) Business location c) Weather changes d) Lack of household assistants e) The existence of several college campuses Threat a) The price of raw materials is not stable b) Difficult to get employees c) The rental price of the place is always going up d) The number of competitors e) Quality that must be maintained properly IFAS Matrix (Internal Factor Analysis Summary) The next step is to formulate these internal strategic factors in the company’s strengths and weaknesses framework. The stages are: • 1. Determine the factors that are the strengths and weaknesses of the company in column 1. • 2. Give each factor a weight on a scale from 1.0 (most important) to 0.0 (not significant) based on the influence of these factors on the company’s strategic position. (All these weights must not exceed the total score of 1.00). https://journals.e-palli.com/home/index.php/ajebi Pa ge 78 https://journals.e-palli.com/home/index.php/ajebi Am. J. Econ. Bus. Innov. 1(3) 73-81, 2022 • 3. Give a rating of 1 to 4 for each factor to indicate whether the factor has a significant weakness (rating = 1), a minor weakness (rating = 2), a small strength (rating = 3), and a significant strength (rating = 4). So, the rating refers to the company, while the weight refers to the industry in which the company is located. • 4. Multiply each weight by its rating to get a score • 5. Add up the total score of each variable. Regardless of how many factors are included in the IFAS matrix, the total weighted average ranges from a low of 1.0 and a high of 4.0 with an average of 2.5. If the total average is below 2.5, the company is internally weak, while a total value above 2.5 indicates a strong internal position. From the analysis results in table 2 of IFAS, the strength and weakness factors have a total score of 2,267. Because the total score is above 2.0, the company’s internal position is quite strong. Table 3: IFAS Matrix (Internal Factor Analysis Summary) Internal factors Weight Rating Score Strength Quality and service to consumers 0.113 4 0.452 Conducive work atmosphere 0.070 3 0.210 Work process supervision 0.087 3 0.261 Shuttle service 0.115 3 0.460 Have a complaint number 0.088 4 0.352 Total Strength 1.735 Weakness Not yet using advanced technology 0.058 2 0.116 Financial management that has not been well organized 0.054 2 0.108 Lack of promotion 0.046 2 0.092 Location is not strategic 0.049 2 0.098 Lack of human resources 0.059 2 0.118 Number of Weaknesses 0.532 Total 2.267 EFAS Matrix (External Factor Analysis Summary) There are five stages of compiling the external strategy factor matrix, namely: • 1. Determine the factors that become opportunities and threats. • 2. Give each factor a weight from 1.0 (very important) to 0.0 (unimportant). These factors are likely to have an impact on strategic factors. The sum of all weights must equal 1.0. • 3. Calculate the rating for each factor by giving a scale from 1 to 4, where 4 (excellent response), 3 (above average response), 2 (average response), and 1 (below average response). This rating is based on the effectiveness of the company’s strategy; thus, the value is based on the company’s condition. • 4. Multiply each weight by its rating to get a score. • 5. Add up all scores to get the company’s total score. This total value shows how a particular company reacts to its external strategic factors. Of course, in the EFAS matrix, the highest possible total score is 4.0, and the lowest is 1.0. A total score of 4.0 indicates that Street Vendors respond to opportunities particularly and avoid threats in their industrial markets. The total score of 1.0 shows that the strategies implemented by Ms. Daeng do not take advantage of the need. The analysis results in the EFAS table show that the opportunity and threat factors have a total score of 2.22. Because the total score is close to 3.0, the laundry Table 4: EFAS Matrix (External Factor Analysis Summary) External Factors Weight Rating Score Opportunity Changing people's lifestyle 0.118 4 0.432 Business location 0.112 4 0.306 Changes in the weather 0.095 3 0.285 The minimum number of household assistants 0.090 2 0.180 College campus 0.085 3 0.255 Number of Opportunities 1.640 Threat Raw material prices are unstable 0.064 2 0.128 https://journals.e-palli.com/home/index.php/ajebi Pa ge 79 https://journals.e-palli.com/home/index.php/ajebi Am. J. Econ. Bus. Innov. 1(3) 73-81, 2022 Difficult to get employees 0.072 2 0.144 The rental price is always going up 0.083 2 0.166 Number of competitors 0.083 2 0.166 Quality that must be maintained properly 0.079 2 0.158 Number of Threats 0.765 Total 2.402 business responds well to the opportunities that exist by avoiding threats in the market. Furthermore, the total score of each factor can be broken down, strength 2.735, weakness 0.532, opportunity 1.640, and threat 0.765. Then it is known that the difference in the total score of the strength and weakness factors is (+) 1.203, while the difference in the total score of the opportunity and threat factors is (+) 0.875. The Cartesian diagram above clearly shows that the laundry business in Watampone is in the growth Figure 2: Cartesian diagram quadrant, where this quadrant is a perfect situation. The laundry business has opportunities and strengths to take advantage of current opportunities. The strategy that must be applied in this condition is to support an aggressive growth policy (Growth Oriented Strategy); with the implementation of GOS, the laundry business can maximize its strengths to take advantage of various opportunities to balance other competitors who sell similar products. SWOT Matrix The SWOT matrix is a tool used to measure the company’s strategic factors. This matrix can clearly describe how external opportunities and threats are owned. This matrix can produce four possible alternative strategy cells, as seen in the table below. Based on the results of the analysis above, it can be concluded that the opportunity for the laundry business is in a position with good prospects, namely being in a Opportunity (O) a) Changes in people’s lifestyles b) Business location c) Weather changes d) Lack of household assistants e) The existence of several college campuses Ancaman (W) a) The price of raw materials is not stable b) Difficult to get employees c) The rental price of the place is always going up d) The number of competitors e) Quality that must be maintained properly Strength (S) a) Quality and service to consumers b) Conducive work atmosphere c) Supervision of work processes d) Shuttle service e) Have a complaint number Strategy (SO) a) Provide the best service so that customers feel comfortable and safe b) Complete facilities to support employees and consumers c) Increase employees to take care of their consumer goods d) Provide pick-up and drop-off services at an affordable cost e) Providing services to receive complaints from consumers Strategy (WO) a) Updating all systems to facilitate service and work b) Using technology for management c) Utilizing social media as a medium for promotion d) The location is not far from the highway and easy to pass by the community https://journals.e-palli.com/home/index.php/ajebi Pa ge 80 https://journals.e-palli.com/home/index.php/ajebi Am. J. Econ. Bus. Innov. 1(3) 73-81, 2022 Weakness (W) a) Not yet using sophisticated technology b) Financial management that has not been well organized c) Lack of promotion d) Location is not strategic e) Lack of human resources Strategy (ST) a) Availability of adequate raw materials can improve quality and service b) Keeping the location clean so that it attracts consumers c)Creating price promotions or discounts that attract consumers Strategy (WT) a) Improving a better service system, so that consumers feel comfortable b) Opening employee vacancies to produce maximum work and according to target growth strategy position with a total IFAS value of 2,267 and an EFAS value of 2,402. The primary purpose of this study is to answer how to build a laundry business development strategy in Watampone City, which has been answered empirically, namely by implementing and improving and focusing on the ST strategy. ST strategy is a strategy by using all internal strengths possessed in order to take full advantage of opportunities. The ST strategies that can be carried out by the laundry business based on research findings include providing the best service so that customers feel comfortable and safe, focusing on facilities, focusing on employee attitudes, and maintaining consistently good consumer goods and innovation breakthroughs, namely providing services. Shuttle at a cost that is affordable to consumers. CONCLUSIONS From the results of research using swot analysis in the laundry business in Watampone City, implementing a laundry business development strategy has excellent prospects and opportunities, so the strategy that is considered suitable is based on the research results using a Growth-oriented strategy. 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