The-definition.com

Definition

SWOT analysis

SWOT is an acronym for the internal Strengths and Weaknesses of a firm and the environment opportunities and Threats facing that firm. SWOT analysis is a historically popular technique through which managers create a quick overview of a company’s situation. It is based on the assumption that an effective strategy derives from a sound fit between a firms internal resources and its external situation. A good fit maximizes a firms strengths and opportunities and minimizes its weaknesses and threats. Accurately applied, this simple assumption has sound, insightful implications for the design of a successful strategy.


SWOT analysis is the SWOT is an acronym for strengths, weaknesses, opportunities, and threats. By systematically evaluating all four of these factors, a firm can then develop the best strategies for gaining a competitive advantage.

Share it:  Cite

More from this Section

  • Cause advertising
    Cause advertising form of institutional advertising that promotes a specific viewpoint ...
  • Storming stage
    The storming stage is named because of the intergroup conflict that occurs over who will ...
  • Employee separation
    Employee separation broad term covering the loss of an employee for any reason, voluntary ...
  • Asset Intensity
    Asset Intensity is the number of assets needed to generate the given amount of sales. ...
  • Job design
    Job design to refer to the way tasks are combined to form complete jobs. The jobs that ...