Say SWOT analysis, and the very name reminds you of James Bond like undertaking! However, in reality, it implies nothing more than a self-analysis tool designed to buck up business prospects and place one ahead of one’s competitors. SWOT is just an acronym for strengths, weaknesses, opportunities and threats - a business tool designed to audit not just an organization and its environments, but even an individual. To explain it in layman terms, a SWOT analysis equips one with a deeper understanding of their strengths, weaknesses, opportunities and threats basically faced in the attainment of their professional or business goals. A SWOT analysis is defined as the first important step towards understanding life and career objectives. SWOT helps to indentify your strengths, downplay your weakness, exploit opportunities and minimize threats of your greater undertakings. In recent times, SWOT has generated big hype because of its predictive capabilities in the study of strengths and weaknesses in the context of any environment. A SWOT analysis presents us with a deeper understanding of the opportunities and threats involved. To know more on how to conduct a personal SWOT analysis, read on.
How To Conduct A Personal SWOT Analysis
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A personal SWOT analysis entails a strategic study of your strengths, weaknesses, opportunities and threats with an overall bearing on your business position and environment. It’s an instrumental framework that allows you to audit your business standing and zero in on the best business path for you. Begin your analysis by compiling a detailed and honest list of your strengths and weaknesses. Ask your family and friends to relate the positives and negatives in you and pay heed to their observations to refine your list and benchmark your positives and negatives.
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Opportunities and threats are external factors that not only reveal scope for growth but also expose the possible threats. However, while gauging your opportunities and threats, don’t just restrict your analysis to your immediate environment. Rather extend your study to the major world trends too. Doing so will leave you in a better position to understand the hitches and chances involved. Moreover, these external factors can be categorized both into personal and professional. So don’t narrow down your analysis to a single sector.
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Your next step is to jot down your pre-defined personal goals for your business. Just sit down and write down your expectations, how much income you wish to generate from your business, what are your long-term goals for your company and more. Describe your objectives as precisely as possible. Now create a list of strengths and weaknesses needed to run that business, and the opportunities and threats associated with it.
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Once the list is ready, you will have a better understanding of your possibilities and potentials. For example, you may be good in management but weak in finance, and so on. Since business in itself entails a higher level of organization, understanding your skills and incapacities will posit you in a better state to work on the loopholes of your endeavor and launch your venture in a better way.
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SWOT analysis not only gives you a clear idea of your needs and demands, it also helps you to choose your business partner. Conducting a SWOT analysis before teaming up with a partner will acquaint you with his highs and lows as well as help you to understand what he can bring to your business.
