finance

SWOT Analysis

Strengths, Weaknesses, Opportunities, Threats - a 2x2 strategic snapshot framework.

Definition

SWOT is a 2x2 grid: Strengths and Weaknesses (internal), Opportunities and Threats (external). The exercise forces a balanced read on the business. Most founders run SWOT once at planning time then forget it; disciplined operators re-run it quarterly and pair each weakness with one commitment to address it. The constraint of fitting each quadrant to 3-5 items is the point - it forces prioritization.

In your business

  • Limit each quadrant to 3-5 items - force prioritization
  • Re-run quarterly, not annually
  • Pair each weakness with one commitment to address it

Related terms

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