SWOT Analysis

Courses Info

What is SWOT analysis?

SWOT analysis is used by a business to identify the businesses internal strengths and weaknesses and its external opportunities and threats.

AQA | Teaching guide: SWOT analysis

Source: aqa.org.uk

Strengths	Opportunities
Brand Customer loyalty Advertising/Marketing Distribution Economies of scale Sponsorship Market share	Healthier product options New sponsorships Acquire new companies
Weaknesses	Threats
Competition Product health concerns	Competition e.g. Pepsi Customers becoming more health-conscious Sugar tax

It allows the business to focus on strategy.
Identifying a business’s weaknesses allows them to work on improving them.
SWOT allows a business to analyse and understand the business better.
Once businesses have identified their threats they can work to eliminate them.
Strategies can be put in place to make the most of opportunities.
Once all of the strengths of businesses have been agreed they can start to maximise the use of them.

SWOT analysis can quickly become out of date.
SWOT analysis doesn’t prioritise strengths, weaknesses, opportunities and threats in order of importance.
SWOT analysis does not provide solutions or offer alternative decisions.
It can be difficult to identify only a few strengths, weaknesses, opportunities or threats.
A variety of stakeholders may have different opinions of a business’s strengths, weaknesses, opportunities and threats.

1. What is SWOT analysis? (2 marks)

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2. Complete a SWOT analysis for a business of your choice? (8 marks)

3. Provide three advantages of SWOT analysis? (6 marks)

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4. Provide three disadvantages of SWOT analysis? (6 marks)

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