What is a SWOT Analysis?
It’s a business tool used to help make strategic planning decisions.
The acronym stands for:
S – Strengths
W – Weaknesses
O – Opportunities
T – Threats
It helps you grow your business proactively and purposefully.
Who Should Do a SWOT Analysis?
A SWOT analysis is not just for large corporations.
- Salespeople use them to evaluate their territories.
- Small business owners use them to evaluate their firm.
This tool allows any individual who wants to grow their revenues, a strategic plan to do so.
Why You Should Do a SWOT Analysis
A SWOT analysis will tell you what you are doing well, places to tweak, areas of future growth, and problems you need to confront.
If you are self-employed or a company-employed salesperson this analysis will help you evaluate:
- Where you dominate in your market.
- Where your product/service falls short.
- Where you have growth potential.
- Where you are facing challenges.
Without knowing the answers to these questions, you do not know where your company stands.
Not to mention how you can stand out from your competition.
What A SWOT Analysis Evaluates
This analysis evaluates factors that impact a company in several ways:
- Internal Factors – these are aspects the firm can control.
- External Factors – these are factors the firm can’t control.
- Current Factors – these are situations that are going on now.
- Future Factors – these are issues that are forthcoming.
This evaluation of your business aids you in planning and decision-making.
It allows you to be proactive and purposeful.
Anyone who is responsible for bringing in revenues should do an analysis.
It will help you in your business planning, financial planning, product development, and many other areas.
If you want to grow your business, you need to perform regular SWOT analyses of your company.
Now that you know what this tool is and why it’s important for business planning and revenue growth, here’s a template to help you perform a SWOT analysis on your business today!