Swot and Pestle

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SWOT & PESTLE Analysis
SWOT and Pestle analysis is a strategic analysis tool that feeds important information into the business strategy formulation process. SWOT stands for Strengths, Weaknesses, Opportunities and Threats. SWOT is used to determine the current position of an organization. The first two components pertain to internal factors and the latter two concern external issues. Pestle (or PEST) is an acronym for Political, Economic, Social, Technical, Legal and Environmental analysis. Pestle is a tool for assessing the external context of an organization (Bee, 1998).
Pestle can be used alone or in combination with SWOT. If combined, Pestle analysis is done first to provide a context for SWOT analysis (Basu, 2004). Pestle
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The beauty of SWOT and PESTLE are their simplicity and the fact that they are applicable in every market.

Let’s talk about SWOT
• Strengths
These are the strengths within your organisation. What exactly is it about you and your business that is better than the competition? Examples might include quality products, advanced technology, advanced knowledge and a long established business. Identifying the strengths of your current business or a new venture can improve the efficiency of your sales and marketing efforts – it helps you to visualise the unique selling point of your business which helps you write better sales copy, create better sales letters, make more successful sales calls and develop smarter marketing campaigns.

• Weaknesses
Be realistic about what is weak about your business. Are you less advanced than the competition or do you produce lesser quality products? Understanding what is weak about your business can help you to negate these shortfalls, you might produce lesser quality products BUT you are cheaper. Having an awareness of your weaknesses allows you to be smarter with your marketing messages, it helps you to determine which promotional battles to fight and which ones to avoid. For example, the British supermarket chain Morrissons doesn’t profess to being the cheapest supermarket, but instead it chooses to compete on produce quality and freshness. Only pick fights
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