Want to introduce something new? want to know where your company stand in the market? How to analyze your business? Business analysis can be done by the help of SWOT analysis. It is the most effective way to analyze the business. It has many benefits. The main objective of SWOT is to help to make the decisions.
SWOT was introduced in 1960 by albert Humphrey. He conducted a research that why business get fail consistently. After the introduction of SWOT the businesses started to work more efficiently and it proved to be the best tool to analyze the business.
SWOT stands for
S = Strength
W = Weakness
O = Opportunities
T = thread
Now let’s see these 4 points separately
This is the internal factor. Know your strength and do more research that ow can you increase your strength. These are the positive points of any company. This helps you to know that most strong point about your company. Make a list of your financial situation that will help you to make the decision more efficiently. If the staff or employs have the experience about their work, then it is also a plus point.
As the word shows that this represent the negative points of the company. This is also the internal factor. Knowing your weakness can help you to get rid of it more easily. If the company don’t pay tax, then it is also considered to be the weakness of the company. Flop products, bad service in the past are all consider to be the weakness. Look and analyze them carefully and try to work on these weaknesses if you want to make your business work.
This is the external factor like what the market provides you. This will help you to progress more. This shows what rewards the market gives you.
This is also the external factor that how the market treats you. If you know the thread before hands, then you can easily work on them. For example, rising competition, energy crisis, fluctuation in the foreign currency etc.
This is the way you can analyze your business. Make 4 blocks and write the strengths, weakness, thread and opportunities and each block. This will help you to analyze the business or the company more easily.