Flashcards in SWOT/STEEPLE test Deck (23)
Strengths, Weaknesses, Opportunities and Threats
what is a SWOT analysis?
A method for assessing a business, its resources, and its environment
For what External Factors is Steeple used for?
Opportunities and Threats
Strengths and Weaknesses: controlled by the Firm
Opportunities and Threats: not controlled by the firm, ex. Politics and/or economics
What does the SWOT analysis provide?
information that is helpful in matching the firm’s resources and capabilities
Company strengths: Help build up competitive advantage.
Company Weaknesses: One should seek ways to reduce or eliminate weaknesses before they become too severe.
Opportunities in the Market:
Market Dominance; Low cost production; Leadership; Reputation; High productivity; good skills.
Weak Position; high cost structure; Quality Problems; Poor reputation; lack of skills.
Examples of opportunities
Technological Innovation; New Demand; Market Growth; Change in Culture; Economic Growth.
Examples of Threats
Decline in Economy; New Laws; Change in Culture; Other firms.
Social; Technology; Economic; Environment; Politics; Legal/Laws; Ethics
Framework used to analyse the external environment and identify external factors that represent opportunities and threats.
Political Intervention, such as interest rat policy, affects demand patterns.
Changes in the economy, which affects a firm, ex. Inflation, Unemployment.
Social and Cultural Changes require market research to identify trends and pattern, ex. Growth in Population, Media pov, etc.
Affects different firms in different areas, ex. communication devices, machinery, software, goods, etc.
Laws and Restrictions that a company has to follow, company have to follow these requirements.
Company has to deal with impacts in the environment.