The failure to understand the difference between internal and external issues is one of the major reasons for a poorly conducted SWOT analysis. This happens because managers: Select one: a. list their marketing options as opportunities. b. confuse strengths with weaknesses. c. see strengths as the only meaningful issue in a SWOT analysis. d. see opportunities and threats as being the same thing. e. confuse weaknesses with limitations.

Option A is the only reason in the multiple choice question which tells about the reason that managers of the company fail to understand the issues related to the internal and external factors. Strengths and weaknesses are internal factors because it specifically relates to company whereas opportunities and threats are related to the factors that are present in the environment.

Furthermore they also perceive that the opportunities for their department are also the opportunities for the company long-term strategy which is not correct. We conduct SWOT analysis for designing the strategy which we will follow for at 5 years, this means marketing compaign that we are running will not remain after a year. Things change with time but strategy takes longer period than a decision made by a individual manager because SWOT analysis are useful for Executive directors which they can use for the long-term planning of the business.

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