SWOT is an acronym for Strength, Weakness, Opportunity and Threat.; It is a structured planning method that evaluates the four elements of an organization or a business venture.; An entrepreneur classifies the environmental scan into two divisions, Internal and External scanning.;
SWOT is an acronym for Strength, Weakness, Opportunity and Threat.
It is a structured planning method that evaluates the four elements of an organization or a business venture.
An entrepreneur classifies the environmental scan into two divisions, Internal and External scanning.
Internal Analysis is done by ruling out the Strengths and Weakness of a product or service provided.
An external analysis is done by ruling out the Opportunity and Threat of a product or service in the environment.
Strengths: characteristics of the business or project that give it an advantage over others
Weaknesses: characteristics of the business that place the business or project at a disadvantage relative to others
Opportunities: elements in the environment that the business or project could exploit to its advantage
Threats: elements in the environment that could cause trouble for the business or project
Identification of SWOTs is important because they can inform later steps in planning to achieve the objective.
Users of SWOT analysis must ask and answer questions that generate meaningful information for each category to find their competitive advantage.