• Swot analysis must be undertaken in a integrated way. SWOT analysis is undertaken by combining organizational capability profile (OCP) and environmental threat and opportunity profile (ETOP).
  • The basic objective of SWOT analysis is to provide a framework to reflect on the organizational capability to avail opportunities or to overcome threats presented by the environment.
  • SWOT analysis helps an organizational to compals its standing visa versa its competitors in the marketplace through competitive marketplace through competitive advantage profile.
  • The aim of Swot analysis is to identify the extent to which the current strengths and weaknesses are relevant to and capable of dealing with the changes taking place in the business environment.
  • The strategic capability is not absolute but relative to the competitors.
  • A (+) denotes that the strength of the company would help it make advantage of or counter a problem arising from an environmental change or that a weakness would be of jset by the changes.
  • A (-) score denotes the strength would be reduced by such change or that a weakness would prevent the organization from overcoming problems associated with the change.

Tools for strategy formulation

Internal Strengths Weaknesses Swot Analysis
External Opportunities Threats

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