Swot and Pestel

1044 Words5 Pages
Given that we have considered the internal factors of the business in marketing strategy , this section will focus on the analysis of those uncontrollable external components outside organizations which may affect their formulating and changes of the strategy. There are many practical theory models ,and we will use SWOT and PESTEL frameworks to give reviews of the external environment. Introduction of SWOT Model The SWOT model is a strategic analysis framework based on the evaluation of the capability within the organization and the outside trend and changes of the business environment.Generally, it aims to identify the internal “strengths” and “weaknesses” of the organization ,and then combine them with the outside “opportunities” and “threats” to give an overall analysis of the core competency of the organization (Valentin, 2001). It can helps organizations to formulate and implement proper business strategy and improve their competitive force among other rivals (Hibbert et al, 2003). The Strengths are the own helpful characteristics of the organizations which can give them advantages over other competitors within the industry, while the Weaknesses reflect the characteristics which may harm the organization’s development and pull them behind the rivals. These include the management of personnel, finance, productivity, the marketing, the quality of the products and services, the development of technology and so on. The Opportunities refers to the favored trend and changes of the outside environment that are beneficial to organizations, and the Threats are those outside elements which may hinder or deteriorate the business development of the organization, such as the change of the market size, the consumer taste, the increase of competition level or the technology innovation. Companies should overcome those disadvantageous internal factors and utilize the
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