The SWOT Analysis (DAFO)

Explain what the acronym SWOT stands for and what distinguishes internal factors from external ones, giving an example of each quadrant for a local greengrocer.

The figure shows the SWOT matrix with three of its quadrants completed. Identify the missing quadrant, marked with '?', explain what type of factors it includes, and give two examples for a local corner shop.

Classify these factors for a tutoring academy into the corresponding quadrant of a SWOT analysis: teachers highly valued by students, opening of a competing center across the street, premises that are too small, and a public grant for training courses.

About a bakery, we know: its own bakery workshop with traditional family recipes (internal), premises without a shop window (internal), a neighbourhood with many young families (external), and an increase in the price of flour (external). Construct its SWOT matrix by classifying each factor and add one further justified factor to each quadrant.

Cross-referencing the SWOT quadrants generates four types of strategy: SO (using strengths to take advantage of opportunities), WO (overcoming weaknesses by taking advantage of opportunities), ST (using strengths to avoid threats), and WT (minimising weaknesses and avoiding threats to survive). Explain each with a short example based on a bicycle delivery company.

A team carries out a SWOT analysis for its project and lists six strengths, five opportunities, one weakness, and no threats. Critique this analysis: what flaws in approach does it reveal, why an 'all-positive' SWOT analysis is useless, and how you would require the team to find real threats.

«Academia Gauss» has been preparing students for university entrance exams for 15 years with a 96% pass rate and a highly renowned in-house teaching staff, but its physical classrooms are at 90% capacity and the rent for its downtown premises has increased by 20%. Management wants to grow by launching a nationwide online platform. However, its current website only posts schedules in PDF format and digitally native academies offer subscriptions for 19.99 pesos/month compared to its in-person rate of 120.0 pesos/month.

1. a) Classify four specific factors from the case into the SWOT matrix (one per quadrant), justifying why each one is internal (controllable) or external (uncontrollable) in nature.
2. b) Design an SO (offensive) strategy and a WO (reorientation) strategy, explicitly stating which specific factors you cross in each one and how they resolve the academy's dilemma between price and reputation.

A coffee shop chain conducted a SWOT analysis in January listing 20 factors, giving them all the same weight, including: "T: potential rise in agricultural costs at origin" and "W: the warehouse door handle often comes loose". Upon noting that there were 11 strengths compared to only 3 threats, the management committee approved opening four new locations. Six months later, the international price of green coffee rose by 55% and the company suffered severe operating losses.

1. a) Based on this case, justify the three main methodological limitations of traditional SWOT analysis (subjectivity, static view, and lack of weighting or hierarchy).
2. b) Design a methodological proposal to correct these flaws before undertaking a new investment, detailing how you would quantify the probability and impact of external factors.

A strategic audit report delivered to a software development company states: "Having a small staff of only 8 highly specialised engineers is an undeniable weakness that hinders growth and must be corrected immediately by hiring 30 junior programmers".

1. a) Refute the report's conclusion by thoroughly justifying how this same internal factor acts as a decisive strength or as a limiting weakness depending on the chosen competitive strategy (for example, development of custom, high-margin cybersecurity algorithms versus mass development of low-cost standard apps).
2. b) Propose another internal resource or capability of a company and demonstrate in detail how its sign changes (from strength to weakness, or vice versa) depending on the strategic positioning adopted by management.