SWOT analysis is a simple but powerful tool for

sizing up a company's resources and capabilities, strengths and deficiencies, its market opportunities, and the external threats to its future well$-$being.

identifying the market segments in which a company is strongly positioned and weakly positioned.

determining a company's competitive strength vis$--$vis close rivals.

evaluating whether a company is in the most appropriate strategic group.

gauging whether a company has a cost$-$competitive value chain.

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