SWOT analysis is a strategic planning technique which can examine the strengths, the weaknesses, the opportunities and the threats of a business. It is a basic form which serves as a centre for creating marketing plan. SWOT analysis reveals the positive conditions for a company to operate and adverse conditions which can occur for a company. SWOT analysis acquires information from micro-environmental analysis and divides it into internal aspects and external aspects. After completion of SWOT analysis, one can understand how to accomplish the objectives of company and what difficulties can come for accomplishing desired outcomes (Danca, n.d.).
SWOT Analysis for Micro–Environment
The micro environment includes stakeholders that a company deal with frequently. SWOT analysis can help to reveal the elements of microenvironment.
Competitors: The success of any company depends on the level of competition in the market. In a certain market, one company lead over other companies. In the UK, if any company has market share of above 25% then it can be considered that the company has monopoly. In that case the company can charge premium prices. In certain markets only a limited number of companies dominate which is called oligopoly. In the UK insurance, vehicle, supermarket and banking, oligopolies prevail. The hotel industry in the UK is competitive market because there are many organisations which provide luxurious five star hotel services in the UK and thus customers have many choices. ...