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Strategic Planning Guide

What is SWOT Analysis?

Discover how SWOT analysis can transform your strategic planning. Learn to identify strengths, weaknesses, opportunities, and threats to make data-driven decisions that drive growth.

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Tesla
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Microsoft
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Apple
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Netflix
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Amazon
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Google

What is SWOT Analysis?

SWOT Analysis is a strategic planning tool that helps organizations identify and analyze their internal strengths and weaknesses, as well as external opportunities and threats. This framework provides a comprehensive view of your current position and helps guide strategic decision-making.

Internal Factors

  • Strengths: Internal positive attributes that give you an advantage
  • Weaknesses: Internal factors that put you at a disadvantage

External Factors

  • Opportunities: External factors that could benefit your organization
  • Threats: External factors that could harm your organization

How to Apply SWOT Analysis (with Example)

Let's explore how to think about each SWOT element using Google as an example. This will help you understand the types of questions to ask and factors to consider in your own analysis.

Strengths: Internal Advantages

Key Questions to Ask:

  • What unique resources do we have?
  • What do we do better than competitors?
  • What advantages do we have in the market?

Google's Example:

  • Dominant search engine with 92% market share
  • Strong brand recognition and trust
  • Advanced AI and machine learning capabilities

Weaknesses: Internal Challenges

Key Questions to Ask:

  • What areas need improvement?
  • What do competitors do better?
  • What resources are we lacking?

Google's Example:

  • Heavy reliance on advertising revenue (80% of income)
  • Privacy concerns and regulatory scrutiny
  • Limited success in social media platforms

Opportunities: External Possibilities

Key Questions to Ask:

  • What market trends can we capitalize on?
  • What new technologies can we leverage?
  • What customer needs are unmet?

Google's Example:

  • Growing cloud computing market ($500B+ by 2025)
  • Expansion into healthcare and autonomous vehicles
  • Emerging markets with growing internet adoption

Threats: External Challenges

Key Questions to Ask:

  • What market changes could impact us?
  • What new competitors are emerging?
  • What regulatory changes might affect us?

Google's Example:

  • Increasing privacy regulations (GDPR, CCPA)
  • Rising competition in cloud services (AWS, Azure)
  • Potential antitrust actions and legal challenges
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SWOT Analysis Best Practices

Be Specific

Use concrete examples and data points rather than general statements.

Stay Objective

Maintain an unbiased perspective and consider multiple viewpoints.

Regular Updates

Review and update your SWOT analysis periodically to reflect changes.

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