SWOT Analysis is a strategic planning tool used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture. It involves specifying the objective of the business or project and identifying the internal and external factors that are favorable and unfavorable to achieve that objective. Strengths are attributes of the organization that are helpful to achieving the objective. Weaknesses are attributes of the organization that are harmful to achieving the objective. Opportunities are external conditions that are helpful to achieving the objective. Threats are external conditions which could do damage to the business’s performance. By analyzing these four aspects, organizations can gain insights into where they stand in the market or competitive landscape and develop strategies that leverage their strengths, address their weaknesses, capitalize on opportunities, and mitigate the risks associated with threats. This analysis is instrumental in strategy formulation and selection.
