A Comprehensive Analysis of Validity of SWOT in Strategic Planning (Term Paper Sample)

VALIDITY OF A SWOT IN STRATEGIC PLANNING
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Validity of a SWOT in Strategic Planning
Every company’s strategic planning is an integral part of its SWOT analysis since it provides a comprehensive analysis on the perception of the company’s forward-looking and current situation (Mohammad Arabzad an, 2012). A comprehensive SWOT analysis strengths and weaknesses provide an inclusive analysis of a company’s current position. The opportunities and the threats section assist to project challenges and the possibilities moving forward. These four sections while effectively incorporated in a company’s strategic planning have vital role in enhancing performance of a company.
Strengths
The strengths of strategic planning assist a company to analyze its competitive advantage in the marketplace (Bateman & Snell, 2013). The advantages form the focal point of the company’s strategic and operation planning. The advantages also create a concernment with how the company markets its products. For example, companies that have strengths related to production and manufacturing quality products often promote themselves as high quality brands. On the other hand, companies that have good bargaining power and efficient distribution system with their suppliers as strengths can be able to influence those to provide low costs to buyers.
Weaknesses
Companies usually see their advantages while assessing its weaknesses and understanding them make it easier to deal with them. Companies use two approaches while dealing with weaknesses (Mohammad Arabzad an, 2012). They can either downplay the weaknesses in marketing their brands after realizing that the weaknesses are part of the overall business or seek to enhance them if the weaknesses restrict the business from implementing the strategies in order to achieve the set objectives.
Opportunities
Identifying opportunities in a business is very critical since it assist a company to identify approaches that will assist it to grow (Sawant, 2010). It is therefore essential for a company to constantly review market opportunities to take advantage of the changes in marketplace or emerging market that the company has ...