PESTLE and SWOT analysis are big hitters in the business fitness stakes, helping to keep your business healthy and most importantly, profitable.
Below, Think Beyond flex their muscles to outline the what, when and how of a successful PESTLE and SWOT analysis.
Getting to grips with PESTLE and SWOT: “The What”
PESTLE and SWOT analyses are commonly performed together for one very important reason: they complement and inform one another.
PESTLE is concerned with macro environmental factors – the Political, Economic, Social, Technological, Legal and Environmental landscape in which your business operates. From trade restrictions to interest rates; population changes to technological advancements and governing laws to a company’s geographic position – PESTLE analysis is an audit of the wider external environment.
SWOT analysis builds upon PESTLE findings to focus upon Strengths, Weaknesses, Opportunities and Threats that exist within your business. In this sense, Strengths and Weaknesses identify internal factors (such as “What is your USP?” and “What could you improve?”) whilst Opportunities and Threats remain external assessments, (focusing on emerging trends and competitor analysis).
Taken together, PESTLE and SWOT analyses offer comprehensive “outside in” approach that should fuel your business plan with strategic opportunities and mitigate for threats to keep you ahead of the competition. In short, PESTLE and SWOT are essential parts of your corporate planning and risk management process.
Fine Tuning PESTLE and SWOT: “The When”
The question of when to perform PESTLE and SWOT analysis may seem obvious: this should form part of your business research and underpin your business plan.
However, this is not to suggest that PESTLE and SWOT are a one-off obligation with the sole purpose of creating a robust business plan. Rather, analysis should be regularly revisited and used as a key tool when major decisions are required. This could include anything from implementing a new marketing campaign, a new product, a new production method or a reorganisation.
Seeing results: “The How” of PESTLE and SWOT analysis
Implementing PESTLE and SWOT analyses requires a thorough understanding of your business and the world outside it.
Careful research is required and could take many forms such as internet research, probing government white papers, qualitative focus groups, quantitative statistical surveys and competitor intelligence to truly understand and analyse both situational factors and internal business dynamics that could affect your future growth.
Boost your marketing research
PESTLE and SWOT are more than mnemonics to guide research; they are heavyweight strategic tools that are key for generating insights, capitalising on opportunities and mitigating threats.
Against an ever-changing business environment, getting your PESTLE and SWOT research right has never been more important. Despite this, businesses can buckle under their collective weight either through failing to understand how situational and internal factors affect them or by generating incomplete findings based on assumptions rather than fact. PESTLE and SWOT demand a dedicated and thorough approach and that’s where the qualified marketers at Think Beyond can help you punch through to success.
Why Think Beyond are a great place to start
Think Beyond is an innovative marketing consultancy agency that has a singular aim. We partner with you and your business to help accelerate your marketing potential. Our team can steer your PESTLE and SWOT analyses with proven research methods and access to the latest data. We will work with you to understand your business situation from the outside-in. Get to know the macro environment in which you operate and illuminate internal strengths and weaknesses as well as external threats and opportunities.