SWOT analysis is a basic, analytical framework that assesses what an entity (usually a business, though it can be a place, industry or product) can and cannot do, for factors both internal and external.
Robert B. Tucker, an American author, advocated SWOT Analysis as one of the six practical strategies for discovering the next opportunity in the Forbes Magazine. Below are the 4 elements of SWOT Analysis:
- Strengths – Ability and resource availability contribute to your strengths.
- Weaknesses – These are determined through failures and losses and the inability to keep up with rapid changes
- Opportunities – These refer to favorable external factors that an organisation can use to give it a competitive advantage
- Threats – External threats or competition that arise from political, economic, social, and technological (PEST) forces
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