The increasing number of middle-class people leads to the increasing demand for wooden educational toys. CV Omocha Toys as one of the manufacturers should be able to see the opportunities and compete in the industry wooden educational toys.The aim of this study are: 1) to analyze the ability of CV Omocha Toys to compete in domestic market, 2) to arrange alternatives of strategies to improve the competitiveness of CV Omocha Toys in domestic market, 3)to drafta business strategy that is right for CV Omocha Toys in efforts to increase competitiveness in the domestic market. The methods used arePorter’s five competitive forces, industry foresight, Internal And External Environment Analysis, Internal-External(IE) matrix based analysis, Strength-Weakness-Opportunity-Threat(SWOT) matrix, and strategic architecture.udThe factor that most determines the intensity of the competition of wooden educative toys industry is consumer bargaining power. By comparing between the result of industry foresight analysis and the actual condition of CV, several gaps were found. The gaps were the company was still focusing on increasing the production capacity, limited capital, limited competencies, and limited resources. The result of internal and external analysis showed that the total IFE and EFE score respectively was 2,098 and 3,501. CV Omocha Toys was located in second quadrant in IE matrix which is where the growth and build strategy located. The strategy is stressing on intensive strategy (market development, dan product development) and integrative strategy (forward and backward integration)udAlternative strategies determination in SWOT matrix referred to mapping result and grand strategy from the IE matrix. The alternative strategies are:1) increasing the products variety to suit customer needs, 2) active in promoting through social media, 3) improving employee performance, 4) cooperating with the government or related agencies, 5) maintaining customers loyalty.Through the strategic architecture,CV Omocha Toys couldachieve its targets which areto fulfill the demand as well asto makewooden educational toys more popular and widely used by children in Indonesia. The challenges that faced by CV Omocha Toys in achieving the targets werelimited production capacity and limited capital to develop the business.There are two part of strategy recommended for CV Omocha Toys.The first part isbackward integration strategy with programs to improve employee performance. This strategy should be carried out continuously. The second part of the strategy consists of three strategies namelyforward integration, market development, and product development. These strategies should be gradually implemented through the following programs that aresecuring maintain customer loyalty, promoting through social media, cooperating with the government or related agencies, and increasing the variety of products.
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