SWOT Analysis is useful technique for evaluation of Strengths, Weakness, Opportunities and Threats for your business. Strengths and weakness are the internal factors; opportunities and threats are the external factors which affect the business. So it is also known as Internal-External Analysis. By SWOT Analysis you can identified the favorable and unfavorable factors for your business. It can be done for a product, person, place or industry.
When you are involved in trading business you must be both clear and honest on all packaging and labeling. Avoidance in any way, you could find yourself committing a criminal offence under the Consumer Protection from Unfair Trading Regulations 2008.
This tool is originated by Albert S Humphrey in the 1960s. For the application of this tool, you have to find out the answers of the following questions:
Strengths are the internal factors of the business that give it an advantage over others. We should also consider these strengths from both the customers and competitor’s point of view.
Weaknesses are also internal factors of the business that which are not good for the business. We should also consider these weaknesses from both internal and external basis.
Opportunities are the external factors which are favorable for the business and also help to eliminate the weaknesses.
Threats are the external factors which are not favorable for the business.
Few rules for SWOT Analysis