Swot Analysis For A Swot - 1046 Words

Preforming a SWOT analysis for any industry is critical for a company to learn from your possible mistakes and innovate based on customers needs. A company can gain insight and restructure their business model, as well as understand their competitors. SWOT, standing for strengths, weakness, opportunities and threats, helps executive teams, all the way to front line management, navigate their teams, as well as their business model. Retail locations are no exception to SWOT analysis. Retailers work through SWOT analysis yearly, some even doing SWOT analysis quarterly. With consistently changing customer demands and experiences in today’s marketplace, it is imperative for any retailer to understand what their customers, internal and†¦show more content†¦A location offers your customer the ability to also purchase the product, as well as giving the company a opportunity to connect with their customers or end users to make a last impression where the customer feels like they want to come back again. After the team has discovered and discussed the strengths that their company brings to their individual markets they must moved forward to discuss their companies weaknesses. A potential weakness retailers can face is providing competitive wages against their competitors. Retail typically offers minimum wage to their entry level store staff, and even front line managers. These wages are usually determined by state wage standards voted in by local or national governing bodies. Wages such as these can be unrealistic and too low to bring in qualified talent. Another weakness can be competitors online sales and pricing structure. This can be hard for brick and mortar retailers who have vast amounts of store overhead versus having on line sales stores. These online stores are easy to operate and typically have warehouses that they ship product from that will cut cost on packaging, marketing and staff wages. A companies weakness and strengths are a great indicator how realistic a company is with their business model. Once a business knows their areas of opportunity they can then access which of those opportunities is a threat. A huge threat to retail is economic decline. According to