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What is a SWOT analysis? - Leaving Cert Business - Question 12 - 2008
Question 12
What is a SWOT analysis?
Worked Solution & Example Answer:What is a SWOT analysis? - Leaving Cert Business - Question 12 - 2008
Step 1
Definition of SWOT Analysis
Answer
A SWOT analysis is a strategic planning tool used to identify and understand the Strengths, Weaknesses, Opportunities, and Threats related to a business or project. This analysis provides insight into the current position of the business within its market or environment.
Step 2
Purpose of SWOT Analysis
Answer
Typically, a SWOT analysis is conducted before drawing up a business plan. It helps in assessing internal and external factors that could impact the success of the business. By understanding these elements, business leaders can develop strategies that leverage strengths, mitigate weaknesses, capitalize on opportunities, and address threats.
Step 3
Components of SWOT Analysis
Answer
- Strengths: Attributes that give the business an advantage over competitors.
- Weaknesses: Internal factors that may hinder performance.
- Opportunities: External conditions that could be beneficial for growth and development.
- Threats: External challenges that could impact the business negatively.