SWOT ANALYSIS

Hey, welcome to my blog. In this occasion we will talk about the SWOT analysis, here I’m going to explain you what it is, what it means each letter and then I’ll teach you how to do a proper SWOT analysis. Without further due let’s begin.

SWOT analysis allows identifying various aspects that should be consider before making changes in the organization. When the marketing department or any particular area of a company requieres generating changes or developing strategies, a situation analysis is recommended as a basis. The SWOT analysis stands for Strength, Weakness, Opportunities and Threat.

Now let’s define what each letter means.

S for Strength, which is define as the controllable and internal factors of the organization. It allows us to visualize what the company does properly and that has a decision-making capacity.

W for Weakness, which means the negative aspects which can be consider as opportunity areas for the company. The organization needs to control them since it can make improvements and can harm the organization if they are not taken care of.

O for Opportunity, those are all the external aspects, not controllable by the organization but that ca benefit the company in some ways.

T for Threats, are all those non-controllable aspects that may harm the organization. Only aspects of how to be the least affected by these external aspects can be identified.

To finish this blog I’ll teach you how to do a proper SWOT analysis. To do a SWOT analysis first you have to decide an objective, what’s the purpose for your analysis, for example if you want to introduce a new product in the market or change the production of your product. Once you have your objective, you need to know your business, industry and market, you’ll have to research to understand your business and by business I don’t mean your company, I mean the type of industry you are getting into. Now that you have the last two things you can start your SWOT analysis by making a list of the strengths your company has, like the quality of your product, your employees, where you are located, etc. After that, you’ll do the same but for the weakness of the company, it doesn’t matter if it is a long list, overtime you’ll see how that list starts to get shorter. As soon as you have those two list you’ll make a list of the opportunities your company could have. This means what opportunities could be a threat for other companies in the same market, some examples will be new technology, a new material, something other companies will see as a threat because you have it and they don’t. Probably you are tired of making list, I promise this is the last list you’ll make, the one for the threats, all the external factor that could affect your company, like unemployment, more competition, the global market etc. Moreover, once you have all four list you’ll have to prioritize in what aspects you should focus more at that moment and what aspects you can solve later. Finally, you will have to develop an strategy to address the issues you previously prioritize.

That will be all for today, I hope you found useful this blog on SWOT analysis and I hope to see you all in my next post.