The SWOT analysis always starts with brainstorming and the listing of organizational Strengths, Weaknesses, Opportunities, and Threats. When speaking about the evaluation of a fictitious firm, it may be easier and more appropriate, to begin with, the identification of external factors based on the information about the industry and market segment in which this company operates. For instance, in the food production and processing market, opportunities and threats will relate to industry-specific beneficial market trends, new technologies, potential partnerships, policy changes, accessibility of ingredients, and other factors (“How to conduct and use a SWOT analysis,” n.d.).
Consequently, based on the created fictitious scenario for the analyzed company, one evaluates organizational capabilities and resources to identify which of them provide competitive advantages and which are associated with enhancement needs. In food production, internal factors may include production capacity, packaging, and other marketing components, specific product values such as unusual ingredients, compliance with food safety standards, financial resources, and others (‘How to conduct and use a SWOT analysis,” n.d.).
Overall, starting with the assessment of external environmental factors seems to be a logical order of analysis steps as it helps save time and avoid possible errors. Nevertheless, in case a person is familiar with the situation and demands within the market where the fictitious firm operates it is possible, to begin with, the identification of internal factors as well.
Reference
How to conduct and use a SWOT analysis. (n.d.). Web.