The Swot Analysis

1. THE SWOT
ANALYSIS

2. •The SWOT analysis was created in 1960’s
by business gurus, Edmund P. Learned, C.
Roland Cristensen, Kenneth Andrews,
and Willam D, Book in their book,
Business Policy, Text and Cases (Irwin
1969).

3. • SWOT, which stands for Strengths, Weaknesses,
Opportunities, and Threats, is an analytical framework
that can help a company meet its challenges and identify
new markets.
• The framework can identify the business’s risks and
rewards.
• It is also a means of identifying the internal and external
forces that may affect the business.
• It is very helpful in assessing new ventures.

4. • The initiators, Learned, Christensen, Andrews, and Book
used in diagram as guide for identifying the company’s
strength (S), weaknesses (W), opportunities (O), and
threats (T).
• S(strengths) and W (weaknesses) actually refer to the
internal factors, and these are the resources and
experiences readily available to the business proponent.
Usually included as internal factors are:

5. 1. Financial resources such as money and sources of funds for
investment;
2. Physical resources, such as the company’s location, facilities,
machinery, and equipment
3. Human resources consisting of employees;
4. Access to natural resources, trademarks, patents, and copyrights;
and
5. Current processes, such as employee programs, department
hierarchies and software systems, sales and distribution
capabilities, marketing programs, etc.

6. On the other hand, when we speak of external forces, these are
those that affect a company , an organization, an individual, and
those outside their control. These may include:
• Economic trends including local, national and international
financial trends, developments in the country’s stock market,
reforms in banking system, growth of the Gross Domestic
Product;
• Market trends, such as new products or technology or evolving
buyer’s profiles, including changes in taste and lifestyle behavior;

7. THANK YOU!!