- 20 lessons
- 5 quizzes
- 5 week duration
2. Key Chapters
3. Marketing Mix
4. Final Exam
2.9 SWOT Analysis
SWOT is another most important analysis that you should conduct in order to understand whether your business can survive in the market.
It helps you know the things you are stronger than your competitors. It also helps you know the challenges you will face in the market. It keeps you stay ready for those challenges.
You should mention all these four areas in your marketing plan. Do not be afraid from including weaknesses and threats. Everybody knows that no one is perfect. Companies always have some the positive and the negative aspects.
You can conduct successful SWOT analysis if you know the internal and external environment of the company. Prior to getting on to the SWOT analysis, you should first conduct macro and micro external analysis, and also understand the internal environment.
After you have understood what’s outside the organization and what’s inside, only then start with the SWOT analysis.
S in SWOT stands for Strengths. In this section you identify all the areas where your business is stronger. It can be quality of service, loyal customers, low cost, and any other.
You can also include operational strength such as ability to handle external pressure, creativity, flexibility, and others.
You can share your experience and relationship built in the past years which can help you run your business effectively. It can be strong relationship with the suppliers, government officials, and others.
W in SWOT stands for Weaknesses.
Under this section you mention all the area where your company is weak from inside. These are the areas where you have complete control and you can make improvements. You should be honest about your weaknesses as it will impact the success of your marketing plan.
If you have clarified about the company weaknesses from the beginning, then you can at least have some back up for such situations. Suppose one of the weaknesses of your company is financial debt. So in order to have a successful marketing plan implementation, you have to secure some funds too.
Do not only list the weaknesses in black and white. You should also mention what contingency plans you have to mitigate these weaknesses. It will boost the confidence of your readers.
O in SWOT stands for Opportunities
It is the things that you can achieve or target with your internal strengths and external environment.
There can be several types of opportunities that you can get from the market. For example, your timing to enter the market is good, market wants a company who can fulfill their need, and others.
You should discuss how your target market is a good opportunity for your company.
T in SWOT stands for Threats
Challenges are everywhere and business is not immune to that either. There can be several types of threats looming in the market you should be wary of prior to entering into the market.
It helps you stay prepared for such threats. Some of the threats can be the strong emergence of your competitors, dwindling economy, failing deliveries of suppliers, and others.
List all the threats that you may face while executing your marketing plan. Along with those threats, you should also list the actions you are going to take or the resources you will arrange to handle those threats.
This section is just like weaknesses. These are unfavorable situations and therefore you should mention what you are going to do about it.