CS Professional · Strategic Management and Corporate Finance · Strategic Analysis and Planning
In a SWOT analysis of an Indian two-wheeler manufacturer, which of the following would be classified as an Opportunity rather than a Strength?
A government incentive for EV battery production is an Opportunity because it comes from the external environment. The dealer network, patented technology and R&D team are internal resources of the firm, so they are Strengths. SWOT separates internal factors from external ones.
- AA strong dealer network across tier-2 and tier-3 towns built over two decades
- BGovernment incentives announced for domestic production of electric vehicle batteriesCorrect
- CA patented engine technology owned by the company
- DA highly skilled in-house research and development team
Explanation
Strengths and weaknesses are internal factors, while opportunities and threats arise from the external environment. A government incentive is an external development that the firm can exploit, so it is an Opportunity. The dealer network, patent and R&D team are all internal resources and hence Strengths.
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