Why Use a SWOT analysis
A SWOT analysis enables businesses to recognise both internal and external influences. The primary objective of a SWOT analysis is to show to businesses all the factors which are affecting their planning and decision making. This analysis can be applied to products, places, people and any types of industries.
For those starting a new business, walking through a SWOT analysis will help you to identify strengths and weaknesses related to the elements of your business that are integral – those factors within your control (such as niche, service or delivery, features and brand positioning).
A SWOT analysis will also help you to quickly identify threats and opportunities – these are extraneous factors that are outside of your control that may have a big impact on your business. Examples may include legislation, industry growth or shrinkage, emergence or decline of competitors.
SWOT is mainly used as an assessment technique and has become an instrumental tool in project management. A good SWOT analysis can be used as a dashboard to your products.
Done correctly this analysis can assist you in navigating and implementing a thorough strategy. This can be used for your business no matter the size of your business or industry.
Businesses and management suggest that you continuously revisit your SWOT analysis yearly in order to keep up to date in the constantly shifting market trends. Business owners agree that it is a clear and concise way of communicating the businesses most important characteristics.