Analysing Your Business

One of the most common ways of reviewing your business and determining your future strategy is to undertake an analysis of your:

• Strengths
• Weaknesses
• Opportunities
• Threats

Generally an analysis of strengths and weaknesses focuses on the internal aspects of the business.  The opportunities and threats focus on the other hand is external.

STRENGTHS AND WEAKNESSES

In analysing your strengths and weaknesses consider some of the following:

• Levels of competence and skills
• Reputation in the market place
• Financial resources available for new initiatives
• Technological expertise that you have
• Market knowledge and marketing skills
• Track record of developing new products or services, implementing sustainable change, developing and delivering strategy
• Levels of customer satisfaction
• The range of products and services that you have
• Cost structure of the business

OPPORTUNITIES AND THREATS

When looking at the external factors, give thought to:

• Possible product or service expansion
• Barriers to entry in your current or potential new markets
• Changes in the regulations that might help or hinder your business
• The impact of technology on your business model

At the end of the day, if you are to continue to prosper, you need to take the time regularly to:

• Reflect
• Take action to exploit your strengths and opportunities
• Be ready to respond to your weaknesses and threats