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Could you explain the SWOT analysis?

Could you explain the SWOT analysis?

Could you explain the SWOT analysis?

Jeeba Aug. 10, 2018

SWOT Analysis is a useful technique for understanding your Strengths and Weaknesses and for identifying both the Opportunities open to you and the Threats you face.

It is an organized list of your business’s greatest strengths, weaknesses, opportunities, and threats. Further, it is a study of whole organisational environment separately in terms of S- strength, W-Weakness for the internal environment and O- opportunity T- threats, external environment. It can be defined as…..


Strength is an inherent capability which justify the existence of an organisation and the only source to grab market opportunities in the market. For example: A company has adequate fund or efficient employees or customer are satisfying with its products or services and so on. 


 It is an inherent limitation of organisation which creates the strategies disadvantages to it. Weakness of an organisation may be the high cost structure, weak brand name, poor reputation over the market etc. 


Opportunity is a favourable market condition in an organisation’s environment which helps to strengthen its position. When looking at opportunities you have to consider the strengths and ask yourself whether these open up any opportunities. Alternatively, you have to look at your weakness and consider whether you could grab opportunity by eliminating weakness.


A threat is a unfavourable condition in external environment which cause risk for or cause damage to the organisation position.

SWOT is the comparison between internal and external environment in a structured form. It enforces the organisation towards its ambition using its strength to take the possession of favourable external environment. At the same time, it also considers the threats that may take down the organisation.