Question

Identify the four components of a SWOT analysis and describe in detail how a SWOT analysis can be used in the strategic planning process.

Answer 1

SWOT stands for Strenghts, Weakness, Opportunity and Threats.Such an analysis is very important for every organization because with the help of such analysis the organization are able to know about the strengths they possess which the organization can use so that the goals and objectives can be achieved in an easy manner.Also the organization comes to know about the weaknesses they are having and efforts are being applied so that organization can remove such weakness as soon as possible.Also such analysis helps organization to know about the opportunities which are available to the business organisation which can be helpful to earn huge profits. Also, the various threats which organisation have also to be encounterd in a very brave manner so that such threats should not create any damage or loss to the organization in any way.

Thus,with the help of such an analysis,organisations come to know about various important things which every business organisation must know.This helps business organisation take the necessary decisions to overcome the problems and make full use of the opportunity which business can to earn profits. Thus, such a SWOT analysis is very useful in doing strategic planning.