EXTERNAL AND INTERNAL BUSINESS ENVIRONMENT
SWOT analysis is a relatively simple but powerful model which considers both the external and internal perspectives. SWOT stands for:
TOWS represents these terms in reverse order. The strengths and weaknesses relate to the organisation itself while the threats and opportunities arise from an external analysis. Strengths and weaknesses should be considered in relation to competitors or alternative providers of the organisation’s products and services. It is useful to obtain a customer’s perspective as well as an internal evaluation to ensure an objective viewpoint.
As shown in Figure 3.2 there is an interaction between the internal and external ...