Understanding the SWOT Analysis in Business

The video tutorial explains SWOT analysis, a tool used in business to evaluate internal strengths and weaknesses, and external opportunities and threats. It emphasizes the introspective nature of SWOT, focusing on internal factors to identify areas for improvement and potential advantages. The tutorial also discusses how strengths can become threats if not managed properly and how weaknesses can be turned into opportunities. The application of SWOT analysis helps businesses make strategic decisions by leveraging internal resources and addressing weaknesses.

What does the acronym SWOT stand for?

• Strategies, Weaknesses, Options, Tactics

• Strengths, Weaknesses, Options, Threats

• Strategies, Weaknesses, Opportunities, Tactics

• Strengths, Weaknesses, Opportunities, Threats

Which of the following is considered an internal strength?

• Economic downturn

• Market competition

• Government regulations

• Strong management

What can be a potential weakness in a business?

• Innovative product line

• High market share

• Strong brand reputation

• Lack of financial resources

How can a strength become a threat?

• If it is not well protected and can be exploited by competitors

• If it is shared with partners

• If it is too strong and dominates the market

• If it is ignored and not utilized

What is the primary purpose of a SWOT analysis?

• To increase sales and revenue

• To expand into new markets

• To reduce operational costs

• To make strategic decisions based on internal resources