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This article briefly provides in a few pages a comprehensive guide for marketers to develop a SWOT analysis. It is important for marketers to understand their firm's position in the marketplace, and to set realistic objectives within the marketing plan, as part of the organizational strategic plan. Note that this is an exercise and it requires the input of several key individuals to provide insight and input.
What Are the Elements of a SWOT Analysis?
A SWOT analysis focuses on Strengths, Weaknesses, Opportunities, and Threats.
Remember that the purpose of performing a SWOT is to reveal positive forces that work together and potential problems that need to be recognized and possibly addressed.
We will discuss the process of creating the analysis below, but first here are a few sample layouts for your SWOT analysis.
Ask participants to answer these simple questions: what are the strengths and weaknesses of your group, community, or effort, and what are the opportunities and threats facing it?
| Internal | External | ||
| Strengths | Weaknesses | Opportunities | Threats |
If a looser structure helps you brainstorm, you can group positives and negatives to think broadly about your organization and its external environment.
| Positives | Negatives |
|
|
Below is athird option for structuring your SWOT analysis, which maybe appropriate for a larger initiative that requires detailed planning. This "TOWS Matrix" is adapted from Fred David'sStrategic Managementtext.
| STRENGTHS 1. 2. 3. 4. | WEAKNESSES 1. 2. 3. 4. | |
| OPPORTUNITIES 1. 2. 3. 4. | Opportunity-Strength (OS) Strategies Use the strengths to take advantage of opportunities 1. 2. | Opportunity-Weakness (OW) Strategies Overcome weaknesses by taking advantage of opportunities 1. 2. |
| THREATS 1. 2. 3. 4. | Threat-Strength (TS) Strategies Use strengths to avoid threats 1. 2. | Threat-Weakness (TW) Strategies Minimize weaknesses and avoid threats 1. 2. |
David gives an example for Campbell Soup Company that stresses financial goals, but it also illustrates how you can pair the items within a SWOT grid to develop strategies. (This version of the chart is abbreviated).
STRENGTHS
| WEAKNESSES
| |
OPPORTUNITIES
| Opportunity-Strength (OS) Strategies
| Opportunity-Weakness (OW) Strategies
|
THREATS
| Threat-Strength (TS) Strategies
| Threat-Weakness (TW) Strategies
|
This example also illustrates how threats can become opportunities (and vice versa). The limitation of tin cans (which aren't biodegradable) creates an opportunity for leadership in developing biodegradable containers. There are several formats you can use to do a SWOT analysis,including abasic SWOT formthat you can use to prompt analysis, but whatever format you use, don't be surprised if your strengths and weaknesses don't precisely match up to your opportunities and threats. You might need to refine, or you might need to simply look at the facts longer, or from a different angle. Your chart, list, or table will certainly reveal patterns.
