SWOT analysis – allows you to analyze the activities of a company or a specific product. It is used to assess the impact of weaknesses and threats on the company’s activities, as well as the potential to minimize this impact through strengths and development opportunities.
Objects:
- Goods/Service
- The company
- Country/region
Algorithm:
- Analysis of strengths and weaknesses
- Exploring opportunities and threats
- Summing up.
Factors you can affect
S – Strengths
Features that provide additional capabilities
- Extensive experience
- Latest equipment
- Qualified personnel
- Product quality
- Access to unique resources
- Brand awareness
W – Weaknesses
Why your brand may be inferior to the competition:
- Narrow product range
- Poor reputation of the company in the market
- Lack of funds
- Low level of service
Factors influenced by external events
O – Opportunities
Factors that allow a company to increase sales
- Deterioration of competitors’ position
- Sudden increase in demand
- Appearance of new production technologies
- Rise in population incomes
T – Threats
Factors affecting the decline in sales.
- New competitors
- Changing tastes of customers
- Tax increases
- Fertility decline
This is not a complete set of questions for swot analysis,
but it will help you start thinking about new ways to develop your company.
Strengths analysis
In what areas does (the company) perform exceptionally well?
What important tenders or bids did (the company) win this year? Why did you win them?
Which target markets or customer groups generated the most sales? Which ones generated the most revenue?
What did (the company) do best this year? What were the biggest wins?
Which customers or market segments grew the most? What was the reason for this “success”?
Weaknesses analysis.
What important tenders or bids did (the company) lose this year? Why did they lose them?
Which target markets or customer groups generated the least sales? Which ones generated the least revenue?
What were the company’s biggest disappointments and failures?
Which customers or market segments achieved the least results? What was the cause of this “failure”?
Weaknesses in the target market’s needs wants, and consumption trends.
Opportunity Analysis.
What:
new customer needs can you meet?
economic trends are benefiting you? How can you take advantage of them?
Do technological factors create opportunities for you? How can you capitalize on them?
niches and opportunities are your competitors missing out on?
Do alternatives do your ideal customer have to purchase what you have to offer?
important changes are taking place in the industry?
are some things that will “never happen” in your industry? How might this become an opportunity for you?
Threat Analysis
Are there technological factors that create threats?
In what ways are your competitors threatening you?
What scares you the most about your company’s future?
Are there major changes taking place in the industry?
Has the government increased the burden of any previous regulations?
When interpreting a SWOT analysis, it is important to look for instances where internal strengths parallel external market opportunities. It is equally important to identify instances where internal weaknesses are combined with corresponding external threats.
