Strengths And Weaknesses Of SWOT

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SWOT Analysis -
Definiton: SWOT stands for 'Strengths, Weaknesses, Opportunities and Threats '. This is a method of analysis of the environment and the company 's standing in it.


SWOT is made of two parts: the strengths and weaknesses refer to the internals of a company while the opportunities and threats are external to the company and exist in the environment. Some authors credit SWOT to Albert Humphrey, who led a convention at the Stanford Research Institute (now SRI International) in the 1960s and 1970s using data from Fortune 500companies.[1][2]

Strength of a company could be in managing the branding process quickly
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The environment, composed of social, economic, legal, regulatory, national and even international events, has to be continuously scanned to track these.

Limitations of Swot Analysis – A SWOT analysis may be limited because it:
• doesn 't prioritise issues
• doesn 't provide solutions or offer alternative decisions to the identified problems
• can generate too many ideas but not help you choose which one is best
• can produce a lot of information, but not all of it is
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High prices. BMW requires best quality materials, skilled workforce and a great brand image All this results at a higher car prices as compared to other cars.

3. Less acquisitions. 90% of BMW growth is organic and only 10% is from acquisitions. Without acquisitions, the company finds it hard to grow even with exclusive engineering capabilities. Thus, if the company wants to grow significantly, it has to acquire more brands and enter into more strategic partnerships.

4. Weak brand portfolio. BMW Group manufactures and sells only 4 brands: BMW, MINI, Rolls-Royce and BMW motarrad, Although these brands perform well in their segments, if they diversify they will be able serve larger market needs.

1. Attitude towards less polluting cars. Consumers are more aware of the consequences of air pollution caused by cars, with the launch of the hybrid and hydrogen fueled cars consumers are more likely to prefer cars that emit less or no co2 at all

2. New emission standards. BMW are the producers of one of the most ecofriendly vehicles, with the new strict laws on emission standard, the company will have zero investment as compared to some of its competitors who will have to do huge investment to comply with the
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