Identify the elements the team considers most important and that would be included in a SWOT conducted by the team. Why were these chosen?

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The Value and Elements of a SWOT Analysis

The SWOT analysis is an easy and influential way to create tactical options for a business to formulate an evaluation of its position internally and externally. Internally, the strengths and weaknesses of the business are distinguished, while externally the opportunities and threats are established to give a company a foundation to build upon for its future. The elements of a SWOT analysis allow a company to utilize its strengths, combat its weaknesses, benefit from opportunities that arise, and to prevent destructive threats. While the SWOT analysis is not a solution to the elements a company may face, it can provide a starting point for setting goals, devising strategies, and execution. Identifying the key factors from this specific evaluation is a valuable tool that affects a company’s adeptness to attain its purpose and vision while narrowing down what is significant to that particular business.

SWOT Elements

There are four elements of a SWOT analysis. Strengths and weaknesses are the first two and are about the internal conditions of the business, where the business is strong to where the business requires improvement. Opportunities and threats are external environmental conditions that the company may face. Each company will have its own set of potential opportunities and threats, while a factor can be an opportunity for one business it could be a threat for another.

The SWOT analysis can be done in different ways depending on the business and how in depth it wants to get with the analysis. However, each analysis will always have the four basic elements (strengths, weaknesses, opportunities, and threats). Each company can decide how it wants to break it down and how much it wants to assess the business. Other elements that will be different for each company are threats and opportunities. For example, the focus on health and good eating could be an opportunity for gyms, personal trainers, health stores and more. However, the trend is a threat to tobacco companies, fast food chains, and anything else that may be perceived as “unhealthy”. Overall, the SWOT analysis can be used for any business, individual, or situation since the idea is simple.

Value of a SWOT Analysis

(Grisol)

SWOT Analysis Purpose

SWOT is an acronym that identifies four critical elements such as strengths, weaknesses, opportunities, and threats. The purpose of a SWOT analysis is a company’s strategic planning proves where it connects its objectives and strategies to actionable tactics carried out by employees. “SWOT analysis is a simple yet powerful framework for generating strategic alternatives when a corporation or even a simple business unit undertakes a situational analysis or environmental scanning exercise” (Lumpur, 2003, para. 5). The alternative for the SWOT could be TOWS (threats, opportunities, weaknesses, and strengths). In the TOWS analysis, the threats and opportunities are examined first. After examining companies can take advantages of opportunities and minimize the threats by exploiting strengths and overcoming weaknesses. “SWOT and TOWS use the same factors for analysis, and the terms are sometimes used interchangeably without regard to the order that strengths, weaknesses, threats and opportunities are examined” (Hamel, 2016, Consideration).

Advantages and Disadvantages of a SWOT Analysis

(Joshua)

Conclusion

In summary, a SWOT analysis frequently encompasses the external analysis demonstrating the study of opportunities and threats within the organization, and the internal analysis, also encompassed within the SWOT, categorizes the internal strengths and weaknesses. The SWOT analysis should offer an outline that identifies possible strategic opportunities that may exist for the company, how to dodge a weakness essential in the business, and threats that come from the outer area limiting potential future growth. It is critical to an organization that the SWOT analysis does not pinpoint solutions. Largely, a SWOT analysis plays a crucial role in a company’s strategic planning. There are consulting firms that offer the assistance and have a cognizance of the external threats, as well as offer a powerful insight to guide a company in the best direction when launching a new service or product. The knowledge that a company can gain through a well prepared SWOT analysis successfully allows it to have the competitive edge and the possibility to bring in more revenue.

References

Difference Between SWOT & TOWS Analysis. (2016). Retrieved from

http://smallbusiness.chron.com/difference-between-swot-tows-analysis-23169.html

Hamel, G. (2016). Difference Between SWOT and TOWS Analysis. Chron.

Retrieved from http://smallbusiness.chron.com/difference-between-swot-tows-analysis-

23169.html

Lumpur, K. (2003, April 6). SWOT Analysis a Powerful Framework. New Straits Times.

Retrieved from

http://search.proquest.com.contentproxy.phoenix.edu/docview/266906087?accountid=35

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