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Management Accounting in Support of Strategy by Graham S. Pitcher

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CHAPTER 4

Corporate Appraisal

The Corporate Appraisal SWOT Analysis

The corporate appraisal is also known as the SWOT analysis—strengths, weaknesses, opportunities, and threats. Primarily strengths and weaknesses come from the internal appraisal and opportunities and threats come from the environmental analysis.

Changes in the business environment are identified during the environmental analysis phase, but it is only when these are matched against the organization’s ability to deal with the change that it becomes evident whether the change represents an opportunity or a threat.

For example, proposed changes to the regulatory environment could present opportunities for expansion and product/market development if the organization has the resources. ...

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