What does SWOT in SWOT analysis stand for?

SWOT analysis is a strategic planning tool used to identify and assess the internal and external factors that can influence the success of a project or business. The term "SWOT" specifically stands for Strengths, Weaknesses, Opportunities, and Threats.

Strengths refer to the internal attributes and resources that support a successful outcome, while Weaknesses highlight the internal limitations or challenges that could hinder progress. Opportunities represent external factors that the organization can capitalize on for growth or improvement, and Threats are external challenges or risks that could jeopardize success.

This framework is widely used because it enables organizations to gain a comprehensive understanding of their position in the market, allowing for informed decision-making and strategic planning. The clarity and systematic approach provided by identifying these four elements contribute to effective strategy development.