What does SWOT analysis primarily evaluate?

SWOT analysis primarily evaluates strengths, weaknesses, opportunities, and threats of an organization or project. This strategic planning tool provides a structured framework that enables organizations to understand their internal capabilities (strengths and weaknesses) and external factors (opportunities and threats) that could impact their success. By identifying strengths, organizations can capitalize on them in their strategies. Understanding weaknesses helps in recognizing areas for improvement, while opportunities highlight potential areas for growth or competitive advantage. Identifying threats allows an organization to prepare for potential challenges and mitigate risks effectively.

By using this comprehensive approach, organizations can make informed decisions and develop strategies that align with their internal competencies and external market conditions, leading to more effective business change and transformation.