3.1.3 SWOT Analysis

Question 1

What is SWOT analysis

Answer 1

an tool used to identify
Internal Strengths and Weaknesses
External Opportunities and Threats

Question 2

Examples of internal strengths?

Answer 2

-good location w high footfall
-good reputation
-seasonal products/services

Question 3

Examples of internal weaknesses?

Answer 3

-higher cost than rivals
- low advertising budget
-no social media presence
-high staff turnover

Question 4

Examples of external threats ?

Answer 4

-threat of new entrants (porter)
-economic uncertainty
-rising cost of supplies

Question 5

Examples of external opportunities ?

Answer 5

-growing interest in smth u have to offer e.g sustainable
-gov funding available for staff training
-growth e.g via food delivery apps

Question 6

What should be done with each SWOT elements

Answer 6

Strengths should be harnessed
Weaknesses should be eliminated
Opportunities should be seized
Threats should be mitigated

Question 7

What does effective SWOT analysis help managers with

Answer 7

understanding the current business position so that appropriate strategic decisions may be made

Question 8

E.g if ur strength is a good USP what strategic decision can u make

Answer 8

Porters differentiation leadership

Question 9

E.g if u have a lack of USP what strategic decision can be done

Answer 9

Understand that it’s bostons dog and divestttt 💸

Question 10

E.g if external opportunity is that there are fewer competitors what can u do

Answer 10

Put prices up …

Question 11

E.g if a threat is that there are changing legal requirements what can u do

Answer 11

Wellllll capitalise on ur new environmental USP bitchhh ‘differentiation leadership’ cus of first mover advantage