JUNIOR CYCLE BUSINESS STUDIES Example The following shows a SWOT analysis of a craft shop in Carlingford, County Louth. Strengths
Carlingford Crafts SWOT Analysis Opportunities
• Shop is in a great location
• Lots of tourists visit the area
• Products are high quality
• Workers are motivated and committed
Weaknesses • Shop is small
• Area is quiet during the week
• Put tables at the shopfront and serve tea and coffee
• Extend the premises in the future
• Offer craft classes during the week when the shop is quiet
Threats
• There is another craft shop in the area
• Crafting websites offer similar products at lower prices
SWOT is an example of an acronym: a word that is formed from the initial letters in a phrase, in this case ‘Strengths, Weaknesses, Opportunities, Threats’. Can you think of any other examples of acronyms?
SWOT analysis A
Go to page 91 of your Activities and Accounts Book to complete a SWOT analysis of a business you are familiar with.
External Sources of Ideas External sources of ideas come from outside the business. They include:
• Competitors • Trade shows • Research • Agencies • Other businesses.
1. A business that offers a similar product or service is called a competitor. All businesses should be aware of what their competitors are doing. Great ideas often come from a business looking at its competitors’ products and services and working to improve on them.
2. A trade show is an exhibition of the latest products and services being offered by businesses in the same industry. For example, the Dublin Holiday World Travel and Tourism Show or the Showcase Ireland Craft, Gift and Fashion Show. These exhibitions give businesses the opportunity to see what their competitors are doing and to gather information about their customers, both of which can lead to new ideas.
