The most challenging SWOT categories are usually categories of threats and opportunities. On the one hand, people are often aware of the threats, because they naturally focus their attention on potential risks more than on the positive aspects (Capacity Consulting, 2018). On the other hand, it is necessary to look at the enterprise from another point of view to see the threats that are not obvious. Threats also should be analyzed from a dynamic point of view, as in different time periods can be different threats. A threat analysis should include not only a list of competitors, but be more precise. However, if competitors pose a big risk for the enterprise, they should be included in the list. Besides, in the period of pandemic the socioeconomic situation changes rapidly and it is difficult to predict the threats and opportunities that can occur in the future.
What Was Learned About the Challenging Category and How it will Help Better Identify Items for that Category
Threat category is one of the most challenging, because some threats are difficult to identify. According to Harvard Business Review, the threats should be considered from two points of view – the inner and the external ones (Branderburger, 2019). Besides, they should be analyzed dynamically, as they can change with the time. In the beginning, it is difficult to identify threats that can occur after some period of time. Understanding of these features can help to focus on the analysis of a real, dynamic and changing environment (Patrishkoff, 2015). Besides, there should be also considered the threats that cannot be managed. For example, the possible changes in the socioeconomic situation or some force major cannot be dealt with, but they should not be forgotten.
Overlooked SWOT Analysis Category Marketers
An opportunity category is one of the challenging ones. There is a risk of turning it into a “big wish list” (Capacity Consulting, 2018, para. 12). Besides, it can be difficult to define opportunities for an already running enterprise that has been working for a long time. However, an efficient SWOT analysis capitalizes on opportunities (Queensland Government, n.d.). Discovering new opportunities in a saturated market can be challenging and demands a creative vision. This is the reason why opportunities are often overlooked during SWOT analysis. Besides, nowadays the socioeconomic situation is rapidly changing, and sometimes it is not easy to predict which opportunities can occur in the field of chocolate-making business. On the one hand, people may experience stress and would like to distract from it by buying some chocolate. On the other hand, after the lockdown they might feel that they need to become fit again and to keep a healthy lifestyle. Thus, the opportunities should be considered based on a wide analysis of different data concerning the consumer’s behavior, overall situation, et cetera.
Potential Negative Impacts of Failing to Consider the Often-Overlooked Category
Overlooking the opportunities can be a part of oversimplifying and can affect the business. For example, some weaknesses can turn into opportunities, as it happened with a SpaceX company. The lack of finance led to the need to develop innovations that would allow to reduce production costs (Branderburger, 2019). Thus, overlooked opportunities can lead to the miss of a chance for development. However, sometimes a “right-side up thinking” is needed, as the weaknesses can really be weaknesses, and opportunities can be really opportunities. There is a risk to overestimate the potential of weaknesses, which can lead to a wrong strategy. In general, missed opportunities can lead to stagnation of the company, as in the changing environment new ways of development occur, and they should not be missed.
References
Branderburger, A. (2019) Are your company’s business strengths really weaknesses? Harvard Business Review. Web.
Capacity Consulting. (2018). SWOT analysis – The proper way. Web.
Patrishkoff, David. (2015). A SWOT Analysis on the SWOT Analysis. Insurancethoughtleaders.com.
Queensland Government. Benefits and limitations of SWOT analysis. Web.