Business Plan, 2 pages (500 words)

Swot analysis template for efficient business planning

Subject: Business

Info

Published: December 13, 2021
Updated: December 13, 2021
University / College: University of Miami
Language: English
Downloads: 17

What is SWOT Analysis? SWOT Analysis is a strategic business planning tool that can be used for analyzing different business situations faced by a company. This analysis allows businesses to assess their current positions in the market. It also extends to the resources and efforts required to change, sustain or strengthen that position. Four key aspects of a situation are analyzed, including strengths, weaknesses, opportunities and threats, to provide a clear picture of the situation.

SWOT Analysis can be used for various purposes including:

Marketing Analysis
Business Development
Strategic Planning
Research Report
Business Planning
Competitor Evaluation

To help you better understand how this analytical framework is used, here is a SWOT Analysis template:

Internal

External

Strengths:

Identify capabilities
Evaluate resources including assets and people
Analyze competitive advantage
Assess intangibles like data, knowledge and experience advantages
Evaluate financial reserves
Check processes or IT systems driving value
Assess market research abilities

Opportunities:

Development in technology and innovation
New or better target markets
New partnership and contracts, and surprises
Business or new product development
Industry, market and lifestyle trends
Global influences and import/export
Seasonal business trends
Economies of scale and production volumes

Weaknesses:

Lack of capabilities
Unfocused competitive strengths or lack of a core competency
Deadline, pressure and time limits
Cash drain or cash limitations
Supply chain continuity and delivery
Inefficient management structure or lack of succession planning
Business reputation, reach or awareness level

Threats:

New legislative regulations
Political, environmental and economical effect
Development in the IT and communications industry
Loss of resources or partners
Changes in market demands
Shift in competitive atmosphere
Unavoidable circumstances like natural calamities

How to use a SWOT analysis template

This SWOT analysis template can give you an idea of factors that can be included in each of these categories. In every SWOT analysis model, it is common that a set of two elements always negates the set of other two elements. Strengths oppose the weaknesses while opportunities and threats go against each other. In that particular order, you can consider all possible market elements that relate to a situation, putting them in either one of these categories. While you are running a SWOT over a situation, a factor which isn’t exactly your strength is counted as your weakness.

SWOT is a subjective form of analysis that is made by a business manager. Every manager would interpret this SWOT analysis template in his or her own way, making somewhat biased assumptions. This is one of the biggest limitations associated with this analysis and the reason why managers prefer to carry out SWOT with a team through a brainstorming session, allowing multiple opinions to be heard and completely unbiased decisions to be made. External consultants can also be hired to analyze a business and develop a SWOT analytical report for the company’s current situation in order to limit the biasness, based on the aforementioned SWOT analysis template.

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