SWOT Analysis

Topics:
Strategic Analysis
Tags:
Environment,
Marketing,
Marketing Research,
Quick MBA.com,
Swot analysis
Source:
Quick MBA.com

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Overview: A scan of the internal and external environment is an important part of the strategic planning process. Environmental factors internal to the firm usually can be classified as strengths or weaknesses, and those external to the firm can be classified as opportunities or threats. Such an analysis of the strategic environment is referred to as a SWOT analysis. The SWOT analysis provides information that is helpful in matching the firm's resources and capabilities to the competitive environment in which it operates. As such, it is instrumental in strategy formulation and selection. The diagram in the article shows how a SWOT analysis fits into an environmental scan. Thus, a firm should not necessarily pursue the more lucrative opportunities. Rather, it may have a better chance at developing a competitive advantage by identifying a fit between the firm's strengths and upcoming opportunities. In some cases, the firm can overcome a weakness in order to prepare itself to pursue a compelling opportunity.

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Format: HTML | Date: Jan 2003 | Pages: 1

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