Internal and external information of a business comes under an area known as strategic planning. Strategic planning involves techniques such as SWOT analysis. SWOT stands for strengths, weaknesses, opportunities and threats and it is involved in the strategic planning of a certain business. A SWOT analysis includes designating an objective for the business and it determines what internal and external factors are contributing and opposing the business to accomplish that objective. To achieve a good SWOT analysis about the important issues in the current environment, the information researched about the environment has to be accurate and in depth.
What does a SWOT analysis include? First of all you will need to evaluate the current field that the business is in. This will include finding out about the strengths and weaknesses of other businesses in the field, who you are trying to sell your products to, what is the current mood of situation that will affect the company, what markets the company can go into and how to be successful in them. Secondly you will need to evaluate your own company. This will include finding out the company has over other companies, the company's weaknesses and how to improve on them and what resources the company has. Finally you will need to evaluate the company's rivals. This will include discovering what the differences are between the company and the rivals (what makes your company better) and what do customers want that no other companies provide.
Strategic planning will also require research done on opportunities and threats. An opportunity is a field where the company can perform will and make a profit. A threat is when something is considered a danger which will affect the sales of the company, meaning profits will be lost. Here is where internal and external information comes in. External information is information about other companies and field. This includes finding out who the company's main competitors and finding out their objectives, strengths and weaknesses and to find out which competitor to mainly compete against. External information also includes information about what is happening in the current climate and how it would the affect the company. Here are some topics that the company should consider when it is looking at external information. The company should look at customer needs, such as what stimulates them, what the competitors do better and worse than the company, the market and how much the company can profit by going into that market and the environment, such as how the economy is.
After all this analysis is done, the company should turn internal weaknesses into strengths and use them to grab opportunities from other companies. Also external threats should be turned into opportunities. So basically this means your company should concentrate on it's strengths, improve on it's weaknesses, grab opportunities when it gets the chance and identity threats opposing the company from moving forwards.
What does a SWOT analysis include? First of all you will need to evaluate the current field that the business is in. This will include finding out about the strengths and weaknesses of other businesses in the field, who you are trying to sell your products to, what is the current mood of situation that will affect the company, what markets the company can go into and how to be successful in them. Secondly you will need to evaluate your own company. This will include finding out the company has over other companies, the company's weaknesses and how to improve on them and what resources the company has. Finally you will need to evaluate the company's rivals. This will include discovering what the differences are between the company and the rivals (what makes your company better) and what do customers want that no other companies provide.
Strategic planning will also require research done on opportunities and threats. An opportunity is a field where the company can perform will and make a profit. A threat is when something is considered a danger which will affect the sales of the company, meaning profits will be lost. Here is where internal and external information comes in. External information is information about other companies and field. This includes finding out who the company's main competitors and finding out their objectives, strengths and weaknesses and to find out which competitor to mainly compete against. External information also includes information about what is happening in the current climate and how it would the affect the company. Here are some topics that the company should consider when it is looking at external information. The company should look at customer needs, such as what stimulates them, what the competitors do better and worse than the company, the market and how much the company can profit by going into that market and the environment, such as how the economy is.
After all this analysis is done, the company should turn internal weaknesses into strengths and use them to grab opportunities from other companies. Also external threats should be turned into opportunities. So basically this means your company should concentrate on it's strengths, improve on it's weaknesses, grab opportunities when it gets the chance and identity threats opposing the company from moving forwards.
