What is a SWOT Analysis and How Can It Benefit My Company?

My professor went on to teach the class that this diagram was regularly used in the real world and honestly, it shocked me. No way that this elementary 2x2 square box with the words Strengths, Weaknesses, Opportunities, and Threats listed on the top of each section could really be that important. As time went on, skepticism turned into realization, and realization later developed into appreciation. Maybe the SWOT Analysis looks unbelievably simple, but that’s the beauty of simplicity – it works.

WHO USES  A SWOT ANALYSIS?

Any type of business or organization can benefit from using a SWOT Analysis. By creating a SWOT, you’ll get a clear understanding of your company and will be able to better strategize your next moves. It may take some time, but it’s a worthwhile brainstorming session that will aid in your goal-setting and goal achievements.

LET’S BEGIN

Draw a square. Divide the square into four smaller squares. Label each square with the following: Strengths, Weaknesses, Opportunities, Threats. Now, I’m sure you can start filling out the diagram immediately, but to get the most out of this process, you’ll need to ask yourself the right questions.

STRENGTHS (Internal)

What are your company’s advantages? What value do you bring to your clients? What is special about your staff? What sets you apart from your competition?

Hopefully, you’ll be able to list several strengths, but if not, don’t worry, we can tackle this when we approach Opportunities.

WEAKNESSES (Internal)

This one might hurt a little. Still, identifying your business’ flaws means you can address them and slowly decrease the contents of this column. Allow team members in different departments and positions of your business to speak about the weaknesses they have witnessed. Not every person is aware of another department’s shortcomings, so it’s crucial to pay attention to other perspectives.

What are customers’ common pain points? Are there any management or organizational issues? What is a problem that often occurs at your business? Is there anything that can be improved?

OPPORTUNITIES (External)

Any and all favorable circumstances that you foresee needs to be added to this list.

What’s a trending tool or technology that you can utilize? What relevant events or trade shows are happening in your area? Is there a rise in popularity for your business needs? Is there a new or untapped audience you’d like to target?

This is an exciting section! Embrace the coming advantages and jump onto these opportunities as soon as you can.

THREATS (External)

Are there any new competitors emerging in your area? Why might your customers seek out your competitors instead of your business? Is there a change in the market or consumer behavior that will put your business at a disadvantage? Is there a rise in a certain technology that will negatively affect your business? Are there new legal requirements or law changes affecting your business?

Threats are intimidating, but laying them out in front of you can help you prepare your business for impact or better yet, counteract negative forces.

Having a SWOT Analysis and updating it when necessary keeps you and your team aware of your company’s advantages, characteristics that can be improved, potential chances for advancement, and dangers that can impact your business.

MARKETING EYE CAN HELP

When you hire the Marketing Eye team, you will undergo a thorough analysis of your company, including an extensive SWOT analysis and key recommendations to help you grow your business. You can reach us at 404-626-8070 or fill out our online form for our expert and innovative marketing services.