What does SWOT analysis identify?

SWOT analysis is a strategic planning tool that helps organizations identify their internal strengths and weaknesses, as well as external opportunities and threats. This method provides a holistic view of the factors that can influence the success of a business or project.

By focusing on strengths, businesses can leverage their unique qualities to gain competitive advantages. Identifying weaknesses allows organizations to address areas of vulnerability that could hinder progress. Opportunities point to favorable conditions in the environment that the organization can exploit for growth, while threats highlight potential challenges or obstacles that could negatively impact performance. This balanced assessment enables informed decision-making and strategy development, making it vital for business planning and competitive positioning.

The other options, while they mention various business and market elements, do not capture the comprehensive nature of SWOT analysis, which specifically revolves around the interplay of strengths, weaknesses, opportunities, and threats in a structured framework.