Performing SWOT analysis is most important for businesses to make a right decision by analyzing their internal and external factors. When making a business plan it plays a vital role. This process enables you to develop a strong business strategy and think from a different perspective for achieving the objective framed.
What does SWOT stands for?
S – Strength, W- Weakness, O- Opportunities, T – Threats
In which strength and weakness means the internal factors of business that focuses on the present while opportunities and threats means the external factors of business that predicts the future. SWOT analysis can also be termed as internal and external analysis.
Strengths are positive attributes in the internal factor of your business. Weaknesses are negative factors in your business that needs to be improved. Opportunities are external positive factors which predicts the prosperity of your business. Threats are external negative factors that may affect your business.
When can SWOT be used?
Businesses can make use of SWOT analysis to know high performing areas, explore new initiatives, make smarter decisions, identify the areas of improvement, know the opportunities and foresee the challenges.
Knowing the strength & areas of improvement, grabbing the opportunities and facing the challenges are essential factors to be considered in a business decision making process.
Read more<>How To Do SWOT Analysis For Your Business?