SWOT ANALYSIS

SWOT Analysis

Table of Contents

Introduction3

Purpose of SWOT Analysis3

SWOT Analysis and Diagnostics4

Strengths and Weaknesses5

Strengths5

Weaknesses5

Opportunities and Threats5

Opportunities5

Threats5

Steps of using SWOT Analysis5

Alternatives of SWOT Analysis5

PEST Analysis5

CORE Assessment5

Five Forces of Porter5

Risk Analysis5

Limitations of SWOT Analysis5

Vague but Flexible5

Lack of Detail5

Rank and Prioritize5

Opportunity or Threat5

Solution for Limitations5

Features of SWOT Analysis5

1.SWOTs must be focused5

2.Vision must be shared5

3.Orientation of customer5

4.Analysis of Environment5

Usage of SWOT analysis5

SWOT - Landscape analysis5

SWOT Analysis of SKODA UK5

Strengths5

Weaknesses5

Opportunities5

Threats5

Conclusion5

SWOT Analysis

Introduction

SWOT stands for Strengths, Weaknesses, Opportunities and Threats. It is a useful technique for knowing the company itself by understanding its strengths, weaknesses and identifying open opportunities and threats which it faces. According to McAfee, It is a tool for strategic planning and management of the business by summarizing the current state of a business as well as devising the plan for that business in the future. The tool for the internal examination of the business is known as strengths and weaknesses analysis that evaluate the past performance of business and the utilization of resources. While for the external examination, opportunities and threats analysis is used to import and export market for every business. Sometimes, SWOT analysis is also known as the internal-external analysis.

An analysis of SWOT must start with the organizational objectives of the organization and the desired end. A SWOT analysis may be incorporated into the model of strategic planning. The technique of SWOT analysis is familiar and understandable for every organization and user. For sorting out future ideas and exploit them, SWOT framework significantly provides a structuring device. This technique is well known around the world. According to the Albert Humphrey, “the strategic planning tool should be developed in a way in which data is used from the top companies and are located in America. The SWOT framework is also called, a two-by-two matrix”.

Purpose of SWOT Analysis

The purpose of SWOT analysis, according to Helms (2010), is used to help the organization by understanding how that organization relates to the external environment or aligned with the world that is going around it. The aim of SWOT analysis is to reveal the competitive advantages, analysis the prospects for profitability through its company's sales, allowing the development of contingency plans and prepare the company for facing problems in the future.

SWOT Analysis and Diagnostics

Rousan (2009) stated that the environment of the organization is mainly composed of different factors or elements, which organizations form a relationship of cause-and-effect, and deal with. Now, there are also two categories of environment. First category of environment represent the external environment in which all changes are occurred outside the boundary of the organization such as political, economic, technological and cultural changes that impact little on the organization.

On the other hand, according to Rousan (2009), the secondary category deals with the internal elements or factors within an organization in different areas such as organizational culture, management, research and development, finance, technical frameworks, operational efficiency and organizational structure.

Basically, a SWOT analysis is a process in which the awareness of organizational environments is created by the decision makers for the purpose, defined by Naryanan & ...