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Published byTiffany Davidson Modified over 9 years ago
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A scan of the internal and external environment of a farm
SWOT analysis A scan of the internal and external environment of a farm
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SWOT Internal factors External factors Strengths (S) Weaknesses (W)
Opportunities (O) Threats (T)
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SWOT Analysis Important for strategic planning
helpful to match resources and capabilities to environment farm useful as basis for developing competitive advantage
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SWOT Analysis Framework
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Strengths Skills knowledge resources good reputation accessibility
good soils near main road
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Weaknesses High costs poor reputation lack of access to e.g. markets
weak technical knowledge poor quality inputs plots not well located (slopes - difficult to cultivate; bad soils) insufficient irrigation/capacity of water
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Opportunities Unfulfilled customer need Entry to new markets
loosening of regulations removal of trade barriers extra funds - SAPARD
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Threats New regulations political instability
shifts in customer tastes away from farm’s products increased trade barriers more competition chain not well organized
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SWOT Matrix Most lucrative opportunities not necessarily best pursuit
identify best fit between strengths and opportunities
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SWOT Matrix
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S-O strategies pursue opportunities that are a good fit to the farm’s strengths
W-O strategies overcome weaknesses to pursue opportunities S-T strategies identify ways that the farm can use its strengths to reduce its vulnerability to external threats W-T strategies to prevent the farm’s weaknesses from making it highly susceptible to external threats
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