Cập nhật SWOT là gì? Những ý nghĩa của SWOT

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Welcome to the blog Nghialagi.org that summarizes all the questions and answers what is the definition, discusses and answers what the abbreviation stands for among young people, today let’s learn a new concept that is what is SWOT? Meanings of SWOT. What is a SWOT analysis? The AZ guide for newbies. Summary of SWOT analysis

What is the definition of SWOT?

• SWOT stands for 4 English words: Strengths, Weaknesses, Opportunities and Threats – is a famous business analysis model (or matrix) for businesses. Karma.
• In which strengths and weaknesses are two internal factors in a company. (e.g. reputation, business characteristics, geographical location), you can make an effort to change. Opportunities and challenges are two external factors. (e.g. sourcing, competitors, market price), cannot be controlled.
• The SWOT model is a powerful tool for you to understand the strengths, weaknesses, opportunities and threats you are facing. In business, SWOT analysis helps businesses create a strong foothold in the market. As for individuals, the application of the SWOT matrix will support you to develop a career based on exploiting talents, abilities and opportunities.

What is the origin of the SWOT matrix?

Over the years, the SWOT matrix analysis method has been widely accepted and known. The origin of the SWOT matrix remains a mystery. But it is thought that the concept was conceived by American management consultant Albert Humphrey.

While working on a research project at Stanford University, between 1960-1970, Albert Humphrey developed an analytical tool to evaluate strategic planning. At the same time, this tool also finds out why businesses’ plans fail. He named this analytical technique SOFT, where:

• S = Satisfactory, current satisfaction score
• O = Opportunities, an opportunity that can be exploited in the future
• F = Faults, mistakes at the moment
• T = Threats, challenges that may be encountered in the future

While most agree SOFT is a precursor to SWOT. But some believe that the concept of SWOT was developed individually and is not related to SOFT.

What is a SWOT analysis?

SWOT analysis is an important factor to create business strategy of enterprises. Basically, SWOT analysis is an analysis of 4 factors: Strengths, Weaknesses, Opportunities, Threats to help you determine strategic goals and directions for the future. enterprise.

1. Strengths: Characteristics of the business or project that give it an advantage over competitors
2. Weaknesses: The characteristics of the business or project make the business or project weaker than the competition
3. Opportunity: An environmental factor that can be exploited to an advantage
4. Challenge: Environmental factors can negatively affect the business or project

In which areas is the SWOT applicable?

SWOT analysis (or SWOT matrix) is a strategic technique used to help individuals or organizations identify strengths, weaknesses, opportunities and threats in the market competition as well as in the process of building content. plan for the project. Businesses can use SWOT analysis to clarify investment goals and identify objective – subjective factors that can affect the process of achieving that goal.

Determining the SWOT is extremely important. Because it will decide what the next step to achieve the goal is. Leaders should rely on the SWOT matrix to see if the goal is feasible or not. If not, they need to change their goals and redo the SWOT matrix assessment process.

Here are some cases of application of SWOT analysis:

• Strategic planning
• Brainstorm ideas
• Give decision
• Developing strengths
• Eliminate Weaknesses
• Solve personal problems such as employee issues, organizational structure, financial resources, etc.

Who should model a SWOT analysis?

• The leadership class and the top of the company should actively use the SWOT analysis model.
• However, the process of SWOT analysis cannot be done alone. To achieve the most objective and comprehensive results, SWOT should be implemented by a group of people with many different perspectives and points of view.
• Management, sales, customer service, and even the customers themselves can all contribute to this process. SWOT helps to unite the team and encourage employees to participate in the strategy for the company.
• If you are running your own business, don’t worry too much. You can still consult with friends, people who know your business, accountants or even suppliers. It is important to be able to gather many different perspectives.
• Businesses can use SWOT to assess the current situation and determine the upcoming strategy more effectively and appropriately. But things are always changing. You need to continually re-evaluate your tactics and implement a new SWOT matrix every 6-12 months.
• For startups, SWOT analysis is part of the business planning process, thereby helping to systematize the strategy to get a good start and understand the future direction.

Instructions for implementing the SWOT model

Usually the SWOT diagram is presented as a template with 4 squares representing the 4 main elements. However, you can also list the ideas for each item as a list. How you present it is up to you.

You can discuss together or assign each member to fill out a SWOT analysis template and then gather together to gather ideas. In this step, it is not necessary to write too detailed and long, but should express the main idea with bullets.

After discussion, agree on the most complete version of the SWOT, list the ideas in the 4 factors in order of most priority to least priority.

I have also compiled a few questions for each section for your reference in your SWOT analysis.

Weakness

• What points can you improve on?
• Which should you avoid?
• What do industry insiders say is your weakness?
• What factors keep you from selling?

For weaknesses, you also have to rely on an objective and subjective perspective: Are your competitors doing better than you? What weaknesses others see that you don’t recognize? Be honest and straightforward in facing your weaknesses.

Strengths

1. What are the strengths of your business?
2. In what aspect do you do better than others?
3. What resources can only you have or get at a lower price than your competitors?
4. What do industry insiders say are your strengths?
5. What factors lead to successful orders?
6. What is your company’s unique selling point?

Weigh the advantage from both an insider and a customer and industry perspective. If you are having a hard time, just write down the characteristics of the company and one of them could be your strength.

You also need to think about your competitors.

For example, if all the other competitors offer high-quality products, then even if you have a good product, that is not necessarily your advantage.

Opportunity

• What are the good opportunities you can seize?
• What hot trends are you seeing right now?

Take advantage of the opportunities that come from:

1. Trends in technology and markets
2. Changes in government policy related to your sector
3. Changes in society, population, lifestyle…
4. Local events
5. Customer trends

Tip:

• The best way is to look at your strengths and ask yourself if they can open up any opportunities. Also, consider your weaknesses and ask yourself, by removing them, what new opportunities could you create?

Challenge

• What obstacles are you facing and trying to overcome?
• What are competitors doing?
• Have the quality standards or specifications for the work/product/service changed?
• Is changing technology threatening your position in the industry?
• Do you have bad debt or financial difficulties?
• Are there any weaknesses that would threaten your business?

Tip:

• When assessing opportunities and threats, use PEST Analysis – Analysis of the business environment based on Politics (P), Economy (E), Society (S), Technology (T) – to make sure you don’t overlook external factors like new government regulations or technological changes in the industry.

Oh! Forgot! If you don’t know what is PEST Analysis?

What is PEST analysis?

PEST Analysis – Comprehensive analysis of the business environment based on Politics (P), Economy (E), Society (S), Technology (T).

Expanding the SWOT model

The SWOT model is also extended by flexibly combining the two factors together.

This is an advanced technique that establishes the foundation for removing obstacles and stimulating beneficial points.

1. SO (maxi-maxi) to take full advantage to create opportunities
2. WO (mini-maxi) wants to overcome weaknesses to promote strengths
3. ST (maxi-mini) uses strength to eliminate risk
4. WT (mini-mini) addresses all negative assumptions and focuses on minimizing negative effects

Nike & Starbucks SWOT Example

Nike

Power

• Nike is a company with strong competition in the market
• And Nike doesn’t have a factory, so there’s no burden of location and labor. Nike aims to lean organization – businesses that create a lot of value for customers with the fewest resources)
• Strong in research and development to grasp customer trends
• An international brand

Weakness

• Sports products are not abundant. Most of the income is based on the rich market share, so it is easy to be shaken if this market share decreases.
• The retail sector is very price sensitive. Nike has its own retail stores under the Niketown name. However, most of the profits come from selling to other retailers.

Opportunity

• Product development presents Nike with many opportunities. The brand owner believes that Nike is not a fashion brand. But like it or not, Nike buyers don’t necessarily wear these shoes for sports. But see it as trendy style. That creates an opportunity because the product, even if it is not damaged, is still outdated. So customers will continue to buy new products.
• Can develop products in the direction of sports fashion, sunglasses and jewelry. The more high-value accessories that go with the shoes, the more profit they make.
• Businesses can also grow internationally, based on global brand recognition. Many high-income markets that pay for expensive sports products such as China or India have more and more generations of young people willing to pay.

Challenge:

• Nike is also influenced by the nature of the international market. Buying and selling prices differ in many different currencies, so costs and profits are not stable over time. This situation can cause Nike to produce or sell at a loss. This is a common problem for international brands.
• The clothing and footwear market is extremely competitive.
• As mentioned above, the retail sector is extremely price sensitive. So customers can choose a cheaper supplier.
• Competitors are always something that the company always pays attention to

Starbucks

Weakness

• Renowned cool hands in new product development and creativity. However, their ability to improve will sometimes fail very easily.
• Present throughout the US but need to invest in other countries to spread business risk.
• Mainly based on the competitive advantage of coffee retail, it is slow to encroach on other fields for growth.

Strengths

• Starbucks is a corporation with a profit of up to $600 million in 2004
• As a global coffee brand famous for quality products and services
• Being in the top 100 most rewarding places to work, respect employees
• An enterprise with an ethical philosophy and mission
• Understand customer tastes and trends

Challenge

• Will the coffee market continue to ascend or will it be replaced by other drinking habits in the future?
• Risk of increasing prices of coffee and dairy products
• Since its debut at Seattle’s Pike Place Market in 1971, Starbuck’s success has spawned a new style for many competitors and many copies, leading to many potential dangers.
• Challenges from competitors

Opportunity

• Starbucks is very good at seizing opportunities
  In 2004, the company cooperated with information technology group Hewlett Packard to open a CD-burning service at a Santa Monica store (California USA) so that customers could create their own music CDs.
• New products and services that can be retailed in coffee shops such as Fair Trade products
• There are opportunities to expand internationally, in new coffee markets such as India and the Pacific Rim
• There is potential for co-branding with other food and beverage manufacturers, as well as franchising for merchants of goods and services.

Conclude

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