SWOT is a very familiar model and is applied in many areas of life, including business. So what is SWOT, how is SWOT analysis in business? This article of Sapo will provide you with information about SWOT!
1. What is SWOT?
Surely the SWOT model is no longer strange to people in the business field. This model is known as a useful tool, helping you to understand Strengths, Weaknesses, Opportunities and Threats, from which you can build Strategies to promote strengths and overcome weaknesses better.
Through the SWOT analysis, the factors that positively and negatively affect your store will gradually be revealed. When developing a business plan for your store, you should analyze the SWOT model, because this is a basic and highly effective tool to help you have an overview of the factors that always affect and decide the market. business situation.
SWOT is a tool to help you clearly see your goals, strengths, and weaknesses
2. How to apply the SWOT model in business?
The SWOT analysis brings us a lot of benefits, including identifying the strengths that your store has as well as the limitations that need to be overcome, thereby helping you build a smart business plan. smart and efficient.
So what exactly are the 4 letters S, W, O, T and what role do they play?
2.1. Strengths
This is the advantage that your Shop needs to be fully promoted. Strengths are outstanding and unique points that only your Shop has. Strengths may lie in service quality, innovative business ideas, competitive prices, .. To determine the strengths of your Shop, you can answer some questions such as: Why do customers choose to buy products in your Shop? What advantages does the product you are selling stand out from the competition?
2.2. Weaknesses
In a word, a weakness is what your shop does not do well and needs to be overcome. Finding weaknesses is very important, this helps to improve service quality and customer satisfaction. As for the weakness, you should have an overview in both subjective and objective aspects. You should consult from many people or survey customers, to find out existing weaknesses that you do not know.
2.3. Opportunities
In order for the business to achieve more success, it is extremely important to seize the opportunity. Opportunities often only come when you are really ready and well prepared. You should find out if there are any guest exploit channels that you haven't implemented yet? Or what sales channels are your competitors taking advantage of to be effective?
SWOT will help you have a smart action plan
2.4. Threats
Risks are the things you always need to pay attention to, because these factors, if not thoroughly resolved, often bring bad effects to the Shop's business. The risks may come from fluctuations in the socio-economic situation, epidemics, changes in sales policies, etc.
3. Summary
During the current complicated epidemic situation, the business situation of many shops will be more or less affected. Shop owners can apply the SWOT model to analyze the network points, weaknesses, difficulties and opportunities in the near future, thereby optimizing sales management.
Understanding this difficulty, there are now many sales management software to meet the needs of shop owners such as: warehouse management, customer management, business monitoring, ..Sapo hopes that, with the above information, you will find effective business strategies for your store during this epidemic season.