SWOT Analysis & Sketching your essay

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1.

2.
3.

4.
5. 6. 7.

SWOT Overview Strengths Weaknesses Opportunities Threats Examples - Activity After your SWOT
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is a planning technique used to summarise your strategic environments. provides a structure

It

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Macro

Environment Analysis Environment Analysis Environment Analysis

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Industry Internal

Macro Social

Environment Analysis

Cultural

Economic Political Global

Technological

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Industry

Environment Analysis Industry sales Industry growth Market segment Growth of segment Supplier power Buyer power Substitutes
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Internal

Environment Analysis Reputation Brand Value Resources Core competencies Technology Alliances Goodwill
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Why

do External and Internal Environment Analysis?

identify your strength and weakness in the business
environment
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To

SWOT is a summary of your

Strengths Weaknesses Opportunities Threats
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Internal

External

The Four Step Strategic Planning Process

Your SWOT Analysis will summarise your Strategic Analysis

Strategic Analysis

SWOT

Strategic Choice Strategic Implementation Strategic Control

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Core Capability
Your

are better than your competitors Your product is hard to replicate Your business is valued by your customer(s)
You will find your strengths only when completing your internal analysis.
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Competitors have advantage over you

You will find your weaknesses only when completing your internal analysis
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A condition in your external environments that can help you improve your position than that of your competitors.
You will find your opportunities when completing your industry and macro environment analysis.
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A forecast environmental condition that is out of your control and can harm your businesses profitability.
You will find your threats when completing your industry and macro analysis.
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 Tangible

Strengths

Equipment Unique products Cost advantages

Intangible

Strengths

Strong brands Your reputation Patents Experience

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 Tangible Weaknesses

Old plant and equipment Narrow product line Poor financial resources
Intangible Weaknesses

Weak or unrecognised brand Poor customer relationships Lack of industry knowledge

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 Industry

Opportunities

Expand product range Diversify Export or increase geographic cover

Macro

Opportunities

Favourable law changes Growth in economy

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 Industry Threats

Low cost imports Substitute products Market decline

Macro Threats

Exchange and Interest rates Demographic changes Increasing regulation

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How to maximize Strength

How to maximize Opportunities

How to Minimize Weakness How to Minimize Threats

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 Introduction

Role of the company Position of the company in the industry History Background

Body

The strength-What the company can and should do

Weakness - How can it be reduced Opportunities -How to take advantage of it Threats How to reduce it

Conclusion

Summarize main points

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 Introduction

Role

of the company Position of the company in the industry What this paper is about In addition what will this paper discuss

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 Body

What

is your company/business /products success? What is the main feature that led to the success?

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 Body

History

/ Back ground Information of your company/business /products

Body 3 The strength What the company can and should do

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 Body

4, 5, 6

Weakness - How can it be reduced Opportunities -How to take advantage of it Threats How to reduce it

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 Body

Summarize your recommendations

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 Conclusion

Summarize main points What your addressed in the paragraphs.

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