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Updated On: 6th March 2020 04:24:25 AM


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  •  It is tool for strategic analysis of an organization. Which considers both internal as well as external environment
  •  It is also known as swot matrix.
  •  It is a theoretical oriented concept, which helps to determine what are the strengths, weaknesses, opportunities and threats of any organization.


  • Strengths are the factors in which organization holds expertise and helps in success of an organization.
  • It is caused by internal factors.
  • Generally Strengths of an organization are :-

1. Things your company does well.
2. Qualities that separate your company from competitors.
3. Internal resources e.g. Skills of employees etc.
4. Tangible assets e.g. Goodwill, technologies etc.


  • Weaknesses are internal limitations of an organization that may interfere with company’s ability to achieve its objectives .
  • It is caused by internal factors.
  • Generally weaknesses of an organization are :-

1. Things your company lacks
2. Things your competitors do better than you.
3. Resources limitations, e.g. bad quality employees.


  • An environment with in which an organization operates offers opportunities to it and organization should identify such opportunities by proper planning.
  • It is depend upon external factors.
  •  Generally opportunities of an organization are :-

1. Few competitors in your area.
2. Emerging needs for your products or services.
3. Press or media coverage to your company.


  • Threats are factors existing in external environment, which is uncontrollable and not good for stability and survival of an organization.
  •  It is caused by external factors.
  • Generally threats of an organization are :-

1. Emerging competitors.
2. Changing legal environment, e.g. GST
3. Negative press or media coverage.
4. Changing customers attributes towards your company.


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