CS Professional · Strategic Management and Corporate Finance · Analyzing the External and Internal Environment
In a SWOT analysis carried out by a mid-sized Indian textile exporter, which of the following would be classified as an opportunity rather than a strength?
A government production-linked incentive scheme is an opportunity because it comes from the external environment. Plant, workforce and brand are internal attributes of the firm, so they are classified as strengths in a SWOT analysis.
- AA modern spinning unit owned by the firm
- BGovernment announcement of a production-linked incentive scheme for textilesCorrect
- CA skilled workforce with low attrition
- DA strong brand among overseas buyers
Explanation
Opportunities arise from the external environment, such as government policy support. The spinning unit, skilled workforce and brand are internal resources of the firm, so they are strengths.
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