Practice Flashcards
Two benefits of SWOT analysis?
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All Flashcards in Topic 6.1
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6.1.120 cards
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
Give three examples of strengths
Strong brand, loyal customers, skilled staff, good finances, unique products.
Brand, customers, staff, finance, products
S+W = internal. O+T = ___
External — things happening outside the business.
External
What does SWOT stand for?
Strengths, Weaknesses, Opportunities, Threats — a framework for understanding the business's current position.
S-W-O-T
Two limitations of SWOT analysis?
Subjective (people disagree); doesn't prioritise; static snapshot; doesn't tell you WHAT to do.
Subjective + no priority + static
S+W are ___. O+T are ___
Internal (controllable by the business). External (outside — must respond to).
Internal vs external
Give three examples of weaknesses
Poor cash flow, outdated technology, weak brand, high staff turnover.
Cash, tech, brand, turnover
SWOT is a useful ___ but is subjective and doesn't ___
Starting point; prioritise factors.
Starting point + no priority
SWOT is like a ___ for the business
Health check — identifying what's working, what's not, and what's coming.
Health check
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 opportunities
Growing market, new technology, competitor weakness, government incentives.
Growth, tech, rival weakness, incentives
Strengths and weaknesses can be ___; opportunities and threats must be ___
Changed (internal control); responded to (external, can't control).
Change vs respond
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
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
SWOT helps a business understand its ___ and plan for ___
Current position; the future.
Position + future
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
6.1.225 cards
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
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
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
SWOT can evaluate options like ___
Expansion, takeovers, new products, entering new markets.
Expansion, takeovers, new products
Shareholders care about ___; employees care about ___
Profits and share value; job security and morale.
Profits vs jobs
Strong financial position (strength) makes risky options more ___
Feasible — the business can absorb potential losses.
Feasible
Support arguments with ___ from the stimulus material
Financial data — profit figures, ratios, cash flow.
Financial data
Option B requires overcoming weakness + faces threat = ___
High risk — the business lacks capability and faces external danger.
High risk
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
Consider stakeholder impact: shareholders, employees, ___
Customers, community, suppliers.
Customers + community + suppliers
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
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
When comparing options A and B, SWOT provides ___
Structure — systematically assessing which option fits the business better.
Structure for comparison
Customers care about ___; community cares about ___
Product/service quality; environmental and social impact.
Quality vs social impact
Market growth data (opportunity) supports ___ arguments
Expansion — growing demand means more potential customers.
Expansion
The best choice aligns strengths with ___ while avoiding ___
Opportunities; exposing weaknesses to threats.
Opportunities; weakness exposure
A strong option aligns with ___ and ___ while minimising ___
Strengths and opportunities; threats.
S+O aligned, T minimised
The strongest exam answers combine SWOT with ___
Numbers from the case study — data-backed arguments score highest.
Case study numbers
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
A strong conclusion makes a clear ___ supported by ___
Choice ('I recommend Option A because...'); evidence from the case study.
Choice + evidence
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
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
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
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
A strong conclusion considers ___ AND ___ impact
Short-term AND long-term — not just immediate effects.
Short + long term
10-mark questions need: both sides, evidence, and ___
A justified conclusion — clearly state which option and WHY.
Justified conclusion
Don't just list SWOT points — explain their ___
Impact on the decision — how does each factor affect the choice?
Impact
Strong conclusions: clear choice, evidence, trade-offs, ___
Stakeholders and short vs long term.
Stakeholders + timeframe
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
Use ___ factors and ___ data to argue for each option
SWOT factors; case study data.
SWOT + case study
Avoid: one-sided, no conclusion, generic, ___
Ignoring data and writing too much description.
Data + description
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
Quick: Can you get full marks without a conclusion?
No — a justified conclusion is essential for top marks.
No
Too much ___ and not enough ___ loses marks
Description; evaluation — examiners want analysis, not retelling the case study.
Description vs evaluation
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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