SWOT Analysis
Introduction
SWOT analysis is a strategic planning tool used to understand the Strengths,
Weaknesses, Opportunities, and Threats of an organization, business, project,
or even an individual.
It helps in identifying internal and external factors that can impact decision-
making and strategy formulation.
Meaning of SWOT
S → Strengths:
Internal positive factors or capabilities that give an advantage over others.
W → Weaknesses:
Internal limitations or areas where improvement is needed.
O → Opportunities:
External favourable factors that can help achieve goals.
T → Threats:
External challenges or risks that can hinder progress.
Objectives of SWOT Analysis
1.To assess internal and external factors affecting the organization:
Understand what is good (strengths and opportunities) and what is bad
(weakness and threats) in and around the organization.
2.To identify areas for improvement and growth:
Find where the company is weak and how it can improve, and also where it can
grow.
3.To formulate strategies to capitalize on strengths and opportunities:
, Make plans that use the company’s strong points and external opportunities.
4. To minimize risks arising from weaknesses and threats.
Reduce or manage problems that come from weaknesses or external threats.
Components of SWOT
1. Strengths (Internal & Positive)
Things an organization does well.
Resources and capabilities that give competitive advantage.
Examples:
Strong brand name.
Skilled workforce.
Good customer relationships.
Unique technology.
2.Weaknesses (Internal & Negative)
Areas where the organization is lacking.
Things that put it at a disadvantage.
Examples:
Poor location.
Lack of innovation.
Weak financial position.
High employee turnover.
3. Opportunities (External & Positive)
Favourable trends or factors in the external environment.
Examples:
Introduction
SWOT analysis is a strategic planning tool used to understand the Strengths,
Weaknesses, Opportunities, and Threats of an organization, business, project,
or even an individual.
It helps in identifying internal and external factors that can impact decision-
making and strategy formulation.
Meaning of SWOT
S → Strengths:
Internal positive factors or capabilities that give an advantage over others.
W → Weaknesses:
Internal limitations or areas where improvement is needed.
O → Opportunities:
External favourable factors that can help achieve goals.
T → Threats:
External challenges or risks that can hinder progress.
Objectives of SWOT Analysis
1.To assess internal and external factors affecting the organization:
Understand what is good (strengths and opportunities) and what is bad
(weakness and threats) in and around the organization.
2.To identify areas for improvement and growth:
Find where the company is weak and how it can improve, and also where it can
grow.
3.To formulate strategies to capitalize on strengths and opportunities:
, Make plans that use the company’s strong points and external opportunities.
4. To minimize risks arising from weaknesses and threats.
Reduce or manage problems that come from weaknesses or external threats.
Components of SWOT
1. Strengths (Internal & Positive)
Things an organization does well.
Resources and capabilities that give competitive advantage.
Examples:
Strong brand name.
Skilled workforce.
Good customer relationships.
Unique technology.
2.Weaknesses (Internal & Negative)
Areas where the organization is lacking.
Things that put it at a disadvantage.
Examples:
Poor location.
Lack of innovation.
Weak financial position.
High employee turnover.
3. Opportunities (External & Positive)
Favourable trends or factors in the external environment.
Examples:
