What is the function of swot analysis?

Using various investigation and research methods, this paper analyzes various environmental factors of the company, namely external environmental factors and internal capacity factors. External environmental factors, including opportunities and threats, are favorable and unfavorable factors that directly affect the company's development, belonging to objective factors, while internal environmental factors include favorable and unfavorable factors.

2. Build a SWOT matrix.

The SWOT matrix is constructed by sorting the factors obtained in the survey according to their priority or influence degree. In this process, those factors that have a direct, important, massive, urgent and lasting impact on the company's development are given priority, while those indirect, secondary, rare, urgent and short-lived factors are ranked behind.

Step 3 develop an action plan

After analyzing the environmental factors and constructing the SWOT matrix, the corresponding action plan can be made. The basic idea of making a plan is to give full play to advantages, overcome disadvantages, take advantage of opportunities and defuse threats.

Extended data

Simple rules of SWOT analysis;

1, SWOT analysis must have an objective understanding of the company's strengths and weaknesses.

2. When conducting SWOT analysis, we must distinguish the present situation and prospect of the company.

3.SWOT analysis must be comprehensive.

4. SWOT analysis must be compared with competitors, such as being better or worse than your competitors.

5. Keep the SWOT analysis concise and avoid complexity and over-analysis.

Baidu encyclopedia -SWOT analysis method