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SWOT Analysis

SWOT analysis

The SWOT (strengths, weaknesses, opportunities & threats) analysis helps the business to identify internal and external factors that may have an affect on your business. Strengths & weaknesses are internal, i.e. maintained within the business, factors which you have some control over. Opportunities & threats are external, i.e. environmental factors you have no control over.

Penny’s Parties SWOT analysis:


High rate of parties organised weekly

Excellent marketing & sales techniques

Good development of brand name

Excellent cash flow position

Unique products & specialist equipment


High staff turnover

Weak administration

Market research is out dated


Rapidly growing market

Seasonal products (Christmas/Easter themed parties)

Add-ons (invitations, thank you notes, prizes etc)

Cheaper goods from abroad

Local labour available (high unemployment)

Tax holidays from Government


No barriers to entry – increasing competition

Increasing standards & insurances needed

High inflation means less disposable income for luxuries

High unemployment will decrease demand

Information in the SWOT analysis boxes does not need to be filled or be equal.

Article by Staff of ACS Distance Education

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