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Business Management SWOT Analysis

Business Management SWOT AnalysisSWOT Analysis is being used to analyze those four areas of SWOT (Strengths, Weaknesses, Opportunities and Threats) that a company faces. It is also being used to study and compare the SWOT of a business to its competitors. All of the given areas are important to tackle as it impacts the future of the business.


In business management SWOT analysis, the process starts with identifying the strengths of the company. Strength is something that the company owns which can be used as an advantage over their major competitors. Also, companies should also consider the strengths of their rival company to get a better picture of how others can potentially survive the competition in the market.  The examples of strengths could be the following:

  • Strong brand names
  • Good reputation
  • Strong distribution networks


The next thing that is being looked into is the primary weaknesses. The factors that could prevent successful results in a business are being determined on this step. Weaknesses could be the cause of a lot of problems on business operations and should be dealt with accordingly. Here are some factors that can be placed under weaknesses.

  • Lack of funding
  • Weak internal communication system
  • Inadequate amount of materials


This is an external element that contributes to the achievement of goals of a certain business. One good way in looking for opportunities is by looking into your strengths. See if those strengths could lead to any opportunities. You can also check on the weaknesses of the business and see whether you can find a way for opportunities that could eliminate them. See the below factors that falls under this external element.

  • Arrival of new technology
  • New business partners
  • Positive perception from general public
  • Unfulfilled customer’s needs


These are other external factors that can significantly damage or totally derail a business. You can do a PEST analysis to properly handle the external factors that could badly affect the company. The possible threats that have a huge impact include lack of vendors and negative reviews from customers. Here are other threats that might complete the list.

  • New government regulations
  • Technological changes in the industry
  • New substitute products

SWOT analysis is a useful tool for keeping your company strong and competitive. When carrying out this analysis, be realistic, keenly look into different factors involved and support it with other tools that are suitable.