Discuss the advantages and disadvantages of the SWOTT analysis.

  • Review the SWOTT Analysis information located in Chs. 2 and 3 of the Strategic Management textbook, and additional University Library sources found on the Week 2 Electronic Reserve Readings page to see the types of information that companies or industries include.  
  • Strategic Management, Ch. 2
  • Strategic Management, Ch. 3
  • Discuss the advantages and disadvantages of the SWOTT analysis.

Disadvantages of the SWOTT. 

For SWOTT, there can be the absence of a competitive advantage. Reason being that if a a company has an array of products, being able to identify the details of what enables an advantage, if a company doesn’t vest their resources correctly, their strengths could be for naught. For Example, Ford looked at their SUV line up as its strength with the success of the Explorer and Expedition, to create the Excursion, shortly thereafter as fuel prices surged and the demand for fuel efficient vehicle was necessary, the invested resources into their large passenger vehicles was no longer the ‘strength’. The measurement of a SWOTT must be concrete for a certain time and with anticipation of trends. But there is no guaranteed absolute. In 1996 Michael Dell of Dell Computers thought they were going to crush the industry. Even as far as to criticize Apple to say they needed to be shut down and funds returned to the shareholders. A SWOTT form would have indicated Dell being on the correct path of success, however with Steve Job’s return in 1997, it began the transition to where they are today as the most valuable company.

Advantages of SWOTT……

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