SWOT Analysis is a useful technique for understanding Strengths and Weaknesses, and for identifying both the Opportunities and Threats.
A SWOT is particularly powerful in helping uncover opportunities that the business could be well placed to take advantage of. By understanding the business’s weaknesses, it is possible to manage and eliminate threats.
To develop strategies to take advantage of strengths and opportunities, mitigate weaknesses and threats, it is necessary to conduct a TOWS analysis.
Once you have completed your SWOT, ask the following questions:
How do you:
Then use your answers to develop strategic alternatives:
‘Maxi-Maxi’ – strategies that use strengths to maximise opportunities (SO)
‘Maxi-Mini’ – strategies that use strengths to minimise threats (ST)
‘Mini-Maxi’ – strategies that minimise weaknesses by taking advantage of opportunities (WO)
‘Mini-Mini’ – strategies that minimise weaknesses and avoid threats (WT)
Use the templates below to develop your ideas.
If you have an accountant, they should be your first stop for business advice. If you don’t have an accountant or they can’t help, BuBul has a wide range of experts available. For more advice on business planning, contact our expert* Peter on LinkedIn.
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