Competitive Strategy: SWOT, PESTLE, and Porter Five Force Analysis

Running head: Competitive strategy
Competitive Strategy

Competitive strategy
SWOT ANALYSIS FRAMEWORK
SWOT analysis is considered as one of the effective development tools which give
proper information concerned to the internal environment of the company. This tool focuses on
four aspects which are Strength, weakness, opportunities, and threats. This tool helps to find out
the present situation in the market. It is analyzed that emphasis is given by the top management
so that competitive advantage can be achieved (Huggins and Izushi, 2015).
The strength of this tool states the actual marketing mix and it is also concerned with the
market share of the organization. The strength of an organization is goodwill which is
maintained in the market. The weakness of the company is related to the insufficient resources
available in the company. The threat is related to the competitors prevailing in the market. The
last factor is opportunities from which the company can easily enhance the market share (Santos
and Laczniak, 2015).
Example of Amazon
It can be evaluated that the strength of Amazon is related to the goodwill which is present
in the market. The weakness of the company is related to the hindrances in the services which are
given to the customers. The threat to the company is from the competitors like flip kart who are
conducting same activities in the market. The opportunity which is available for the company is
to grab the offers in the market so that customers can avail the products at low cost.
PESTLE ANALYSIS
It is one of the effective development tools which are considered to analyze the market
situation. It is a tool that helps the company to accomplish overall goals and objectives.
Marketers focus on this tool so that macro environmental analysis can be done. It gives impact
on the operations of the company and also on the overall profits that are achieved. It is seen that
top-level managers give focus on this tool so that activities can be conducted according to the
market condition. In this, there are six factors like political, economic, social, legal,
environmental, legal and technological. In this proper external analysis is done by the company
(Moutinho and Phillips, 2018).
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