SWOT Analysis Introduction to Management
What is a SWOT Analysis? • A tool used buy companies to determine strengths, weaknesses, opportunities, and threats. • Once completed: • will help determine if the business/corporation will achieve its goals in the defined area or… • will it face obstacles that will need to be overcome.
SWOT Strengths - what a business or corporation does well. Weaknesses – what a business or corporation does not do well. Opportunities – potential favorable conditions for a business or corporation. Threats – potential unfavorable conditions for a business or corporation.
Strengths • What does your business do well (production, marketing, etc)? • Is your marketing/advertising effective? • Why do your customers buy from you? • What differentiates your business in the market? • Are there incentives in place to reward your employees for good work?
Weaknesses • What does your business not do well (production, marketing, etc)? • Is your marketing/advertising effective? • What is the biggest expense of the business? • Why do customers not buy from you? • Do your employees perform at their best? • Are there incentives in place to reward your employees for good work?
Opportunities What new technologies are available that the business can use to lower costs? What interesting social patterns, population profiles, lifestyle changes, etc are occurring that could benefit my business? What are interesting local events that might be used to benefit my business?
Threats Have there been any significant changes in the industry in which you operate? Are there any, or do you anticipate new competitors in your market? Is the business keeping up with technological changes?