Practice Flashcards
S+W = internal. O+T = ___
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All Flashcards in Topic 6.1
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6.1.120 cards
S+W = internal. O+T = ___
External — things happening outside the business.
External
Give three examples of strengths
Strong brand, loyal customers, skilled staff, good finances, unique products.
Brand, customers, staff, finance, products
What does SWOT stand for?
Strengths, Weaknesses, Opportunities, Threats — a framework for understanding the business's current position.
S-W-O-T
Two benefits of SWOT analysis?
Simple/easy to understand; encourages thinking about internal AND external factors; useful starting point; highlights improvement areas.
Simple + comprehensive + starting point
S+W are ___. O+T are ___
Internal (controllable by the business). External (outside — must respond to).
Internal vs external
SWOT is a useful ___ but is subjective and doesn't ___
Starting point; prioritise factors.
Starting point + no priority
Give three examples of weaknesses
Poor cash flow, outdated technology, weak brand, high staff turnover.
Cash, tech, brand, turnover
Two limitations of SWOT analysis?
Subjective (people disagree); doesn't prioritise; static snapshot; doesn't tell you WHAT to do.
Subjective + no priority + static
SWOT is like a ___ for the business
Health check — identifying what's working, what's not, and what's coming.
Health check
Give three examples of opportunities
Growing market, new technology, competitor weakness, government incentives.
Growth, tech, rival weakness, incentives
Why is SWOT 'subjective'?
Different people may disagree on what counts as a strength or weakness — it depends on perspective.
People disagree
Quick: Strengths are internal ___; threats are external ___
Advantages; dangers.
Advantages vs dangers
Give three examples of threats
New competitors, economic downturn, changing laws, rising costs.
Rivals, recession, laws, costs
SWOT doesn't tell you ___
What to DO — it only identifies the situation. You need other tools for action planning.
No action plan
Strengths and weaknesses can be ___; opportunities and threats must be ___
Changed (internal control); responded to (external, can't control).
Change vs respond
SWOT shows a ___, not a dynamic picture
Snapshot — static at one point in time.
Snapshot
Strengths = internal ___. Opportunities = external ___
Advantages (competitive edge). Favourable factors (could help grow).
Advantages vs favourable factors
Quick: SWOT is best used WITH other tools like ___
STEEPLE, Ansoff, BCG.
STEEPLE + Ansoff + BCG
SWOT is often used alongside ___
STEEPLE, Ansoff matrix and BCG matrix for a more complete analysis.
STEEPLE + Ansoff + BCG
SWOT helps a business understand its ___ and plan for ___
Current position; the future.
Position + future
6.1.225 cards
Don't just quote numbers — explain what they ___
MEAN for the decision. '$2m cash' is a fact. 'Can fund the $1.5m expansion without borrowing' is analysis.
Explain the meaning
How is SWOT used for decision-making?
Evaluate options by asking: Does it play to strengths? Exploit opportunities? Expose weaknesses? Face threats?
Match options to SWOT
Use SWOT to evaluate options: does it match ___ and ___?
Strengths and opportunities.
S + O
Option A uses strengths + exploits opportunity = ___
Low risk, good fit — the option plays to what the business does well.
Low risk + good fit
Name five stakeholders to consider in strategic decisions
Shareholders, employees, customers, community, suppliers.
Shareholders, staff, customers, community, suppliers
Strong financial position (strength) makes risky options more ___
Feasible — the business can absorb potential losses.
Feasible
Option B requires overcoming weakness + faces threat = ___
High risk — the business lacks capability and faces external danger.
High risk
SWOT can evaluate options like ___
Expansion, takeovers, new products, entering new markets.
Expansion, takeovers, new products
Support arguments with ___ from the stimulus material
Financial data — profit figures, ratios, cash flow.
Financial data
Shareholders care about ___; employees care about ___
Profits and share value; job security and morale.
Profits vs jobs
Mentioning stakeholder impact in 10-mark questions shows ___
Evaluation skills — helps reach the top mark bands.
Evaluation skills
Four SWOT questions for evaluating an option?
Does it use strengths? Expose weaknesses? Exploit opportunities? Face threats?
S-W-O-T questions
Strong brand (S) + growing market (O) → best option?
Expand into that market — uses the strength to exploit the opportunity.
Expand using brand
Poor cash flow (weakness) may rule out ___
Expensive options — the business can't afford them without risky borrowing.
Expensive options
Consider stakeholder impact: shareholders, employees, ___
Customers, community, suppliers.
Customers + community + suppliers
Customers care about ___; community cares about ___
Product/service quality; environmental and social impact.
Quality vs social impact
The real value of SWOT comes from ___
USING the analysis to evaluate options and choose the best path — not just filling in a box.
Using it, not just making it
Don't just quote data — explain what it ___
Means for the decision.
Means
Market growth data (opportunity) supports ___ arguments
Expansion — growing demand means more potential customers.
Expansion
When comparing options A and B, SWOT provides ___
Structure — systematically assessing which option fits the business better.
Structure for comparison
The best choice aligns strengths with ___ while avoiding ___
Opportunities; exposing weaknesses to threats.
Opportunities; weakness exposure
The strongest exam answers combine SWOT with ___
Numbers from the case study — data-backed arguments score highest.
Case study numbers
A strong option aligns with ___ and ___ while minimising ___
Strengths and opportunities; threats.
S+O aligned, T minimised
Quick: Best option = strengths + opportunities, minimal ___
Threats and weakness exposure.
Threats
Suppliers: will relationships ___ or ___?
Strengthen or weaken — depending on the strategic option chosen.
Strengthen vs weaken
6.1.320 cards
Structure for 10-mark recommend questions?
Step 1: Argue FOR A. Step 2: Argue FOR B. Step 3: Evaluate. Step 4: Conclude with recommendation.
A → B → Evaluate → Conclude
A strong conclusion makes a clear ___ supported by ___
Choice ('I recommend Option A because...'); evidence from the case study.
Choice + evidence
Six common exam mistakes for recommendations?
One-sided argument, no conclusion, generic answers, listing SWOT without impact, ignoring data, too much description.
One-sided, no conclusion, generic
10-mark: both sides, case study evidence, ___
Justified conclusion.
Conclusion
Structure: For A → For B → ___ → Conclude
Evaluate — weigh up which is best.
Evaluate
A strong conclusion acknowledges ___
Trade-offs — 'Although Option B offers X, Option A is better because...'
Trade-offs
You CANNOT get full marks without a ___
Justified conclusion — 'it depends' without a final recommendation won't reach the top band.
Justified conclusion
'Sitting on the fence' (no conclusion) gets ___
Low marks — you must make and justify a choice.
Low marks
Strong conclusions: clear choice, evidence, trade-offs, ___
Stakeholders and short vs long term.
Stakeholders + timeframe
A strong conclusion considers ___ AND ___ impact
Short-term AND long-term — not just immediate effects.
Short + long term
Don't just list SWOT points — explain their ___
Impact on the decision — how does each factor affect the choice?
Impact
10-mark questions need: both sides, evidence, and ___
A justified conclusion — clearly state which option and WHY.
Justified conclusion
Use ___ factors and ___ data to argue for each option
SWOT factors; case study data.
SWOT + case study
A strong conclusion mentions key ___
Stakeholders who will be affected by the decision.
Stakeholders
Magic formula for top marks?
Balanced arguments + Case study evidence + Stakeholder impact + Justified conclusion.
Balance + evidence + stakeholders + conclusion
Avoid: one-sided, no conclusion, generic, ___
Ignoring data and writing too much description.
Data + description
Too much ___ and not enough ___ loses marks
Description; evaluation — examiners want analysis, not retelling the case study.
Description vs evaluation
Quick: Can you get full marks without a conclusion?
No — a justified conclusion is essential for top marks.
No
Model conclusion format?
'I recommend A because it uses [strength] to exploit [opportunity], supported by [data]. Although B offers [benefit], A is better because [reason].'
Recommend + justify + acknowledge
Step 3 (evaluate) means weighing up which option is ___
BEST for this specific business — considering short-term and long-term.
Best for THIS business
Topic 6.1 study notes
Full notes & explanations for SWOT analysis
BM exam skills
Paper structures, command terms & tips
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