A SWOT analysis is a strategic planning method to evaluate:
- Strengths- Characteristics which give the business a competitive edge
- Weaknesses- Limitations or deficiencies of the business
- Opportunities- Chances to improve business performance
- Threats- External factors affecting the business
When looking deeper into your opportunities and threats which may sway your business it is easy to use the PESTAL analysis.
PESTAL analysis is
- P- Politics- Political changes in government for instance can influence the way you put your product onto the market
- E- Economics- The Economics can change over the years and therefore can boost your organisation or product or can put restraints on it
- S- Social dynamics- Their might be things happening in the social system which make your product or organisation more wanted or less so
- T- Technology might change which may cause your product to become obsolete. Technology can also influence the way you can use or develop your product
- E- Enviromental Issues- Through the environment your product or organisation might be influenced, strong rain fall or extreme heat could kill your harvest, there by causing an increase in the cost for your product
- L- Legal- New legal conditions coming in from European Union may influence your organisation or product
All these elements are contingent and you cannot directly influence them. So as an organisation you can only anticipate the things that can happen. You could for instance perform scenario planning to understand what might be coming towards you.
My SWOT Analysis
The purpose of a SWOT Analysis is to “create a synthesized view of your current state” (3rd YouTube video). Great planning starts with an understanding of where you are today and understanding the facts and possibilities so you can secure and plan for a future.
Our strengths helps us build on our project and entreprenrial idea. Mine being that I have a team of creative people who are experienced in what I am providing, (that being utalising social media for a small business) and are comfortable all using technology to produce content on a dialy-weekly basis. Another strength I have which also does tie in with my weakness is that my product is free.
This is a strength beccause most my competitors charge dearly for this kind of service so it will bring in more revenue to my site. Who doesnt love free stuff! But this is also a weakness as this doesnt provide me secure monthly finance which can cause other troubles such as being unable to secure pay packages for my team, and also to keep developing higher quality products as we may not have the funding to buy high quality eqiptment.
There are many opportunies though which I could explore in the future of my product such as the Business Show in London. This is a 3 day event twice a year where a vast gathering of small businesses come together to show off what they have to offer to the public for free. Here I could have a stall which would not only be great for the ticket holders to come and see but also every stall there may be interested in what I have to offer them. It could be a great opportunity to reach thousands of people. There are also other events such as
- #smlondon- where people gather to hear talks around social media- I could give a talk on my project as a means of testing my market, gain feedback and then once launched if the feedback goes well I can also gain a customer base here
Threats include other Youtubers who already have a large following producing content simialr to ours. People tend to follow a large crowd and a trusted name so it will take a while to build a credible name and entise people to watch our videos instead and rely on our knoweldge and expertiese.
There are also other threats such as BREXIT. A lot of businesses including small business will be hit by higher import and expot fees once we leave and it may be harder or just too expensive to get a hold of products needed for businesses such as sewing, crafts, bakerys etc, this means less small businesses, which means a smaller audience for my site.