• SWOT Analysis

    SWOT analysis is a widely used strategic planning method to evaluate the Strengths, Weaknesses, Opportunities and Threats involved in a business and marketing strategy. This analysis process involves identifying the internal and external factors that can affect in favor or adversely to achieve the desired goal or objective. This method was first showed by to famous US management consultant Albert Humphrey.

    SWOT analysis is done to finalize the objective or goals depending upon the internal and external factors. It is always advisable to have a practical goal for a business or company. SWOT analysis helps to determine whether a proposed goal or objective is actually achievable or not.

    Main areas of SWOT analysis are

    1. (S)Strengths: All the advantages the company holds over others and the key factors to keep it ahead in the competitive market.
    2. (W)Weaknesses: The disadvantages and limitations of the company which keep it behind the competitors and can adversely affect in achieving the goal
    3. (O)Opportunities: External factors that can work in favor of the company to achieve the goal and improve performance towards achieving the same.
    4. (T)Threats: External factors that can work against of the company to achieve the goal and adversely affect the performance of the company.

    SWOT analysis helps a company to identify all the important factors and risks for which a proper mitigation plan can be prepared even before starting working on the proposed plan.

    Aim and characteristics of SWOT Analysis

    • Identify the key internal and external factors that are important to achieve the goal
    • SWOT analysis checks all the internal and external factors which are important
    • Internal factors are classified as either Strengths or Weaknesses
    • External factors are classified as either Opportunities and Threats

    We have added one SWOT analysis below for one Indian IT company.

    SWOT Analysis

    Here, we have considered all the internal and external factors and classified them in the Strengths, Weaknesses, Opportunities and Threats.

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