A swot analysis is an evaluation tool for companies to measure their performance at an internal and external level, and seek for potential improvements or expansions of their business.
SWOT consists of four elements
1- Strengths- an internal analysis of the business' core competencies and the characteristics/factors which make their brand strong and give it a competitive advantage
2- Weaknesses- an internal analysis of the business' characteristics and factors which place the business at a lower level than its competitors (factors that need to be improved)
3-Opportunities- an external analysis of the business' potential opportunities within the market in terms of growth or expansion
4- Threats- an external analysis of the business' negative elements within its environment such as competition, market exclusion
A SWOT analysis helps a business evaluate its environment and helps with planning future objectives/projects.
What is a SWOT analysis and how does it help the business?
