Who knows what a SWOT analysis model is?

There are four different types of combinations in SWOT analysis: Strengths-Opportunities (SO) combination, Weaknesses-Opportunities (WO) combination, Strengths-Threats (ST) combination and Weakness - Threat (WT) combinations.　\x0d\ Strengths - Opportunities (SO) strategy is a strategy that develops the firm's internal strengths with the exploitation of external opportunities, and is an ideal strategic model. This strategy can be adopted when a firm has strengths in specific areas and the external environment provides favorable opportunities to exploit such strengths. For example, external conditions such as good product market prospects, suppliers expanding in size and competitors having a financial crisis, paired with internal strengths such as an increase in a firm's market share can be favorable conditions for a firm to acquire competitors and expand production. \x0d\ Weaknesses - Opportunities (WO) strategy is the use of external opportunities to make up for internal weaknesses, so that the enterprise to change the disadvantage to gain advantages. Where there are external opportunities, but the firm is prevented from capitalizing on them because of some internal weaknesses, steps can be taken to overcome these weaknesses first. For example, if the weaknesses of an enterprise are insufficient supply of raw materials and insufficient production capacity, from the cost point of view, the former will lead to under-starting, idle production capacity, and higher unit costs, while overtime will lead to some additional costs. On the premise of a positive product market outlook, enterprises may take advantage of opportunities such as suppliers' expansion, price reductions of new technology and equipment, and competitors' financial crises, to realize a vertical integration strategy and reconstruct the enterprise value chain in order to ensure the supply of raw materials, and at the same time, they may consider the acquisition of production lines to overcome the weaknesses of insufficient production capacity and aging equipment. By overcoming these weaknesses, the enterprise may further capitalize on various external opportunities to reduce costs, achieve cost advantages and ultimately win a competitive advantage. \x0d\ Strengths - Threats (ST) strategy refers to an enterprise's use of its strengths to avoid or mitigate the impact of external threats. Such as competitors use new technology to significantly reduce costs, giving enterprises a lot of cost pressure; at the same time, the supply of materials is tight, and its price may rise; consumers demand a substantial improvement in product quality; enterprises also have to pay high environmental protection costs; and so on, all of these will lead to further deterioration of the enterprise's cost situation, so that it is in a very unfavorable position in the competition, but if the enterprise has sufficient cash, skilled technical workers and Stronger product development capabilities, it can use these advantages to develop new processes, simplify the production process, improve the utilization of raw materials, thereby reducing material consumption and production costs. In addition, the development of new technology products is also an optional strategy for enterprises. The development and application of new technologies, materials and processes is the most promising cost reduction measure, while it can improve the quality of products and thus evade the impact of external threats. \x0d\ Weakness-Threat (WT) strategy is a defensive technique aimed at reducing internal weaknesses and avoiding threats from the external environment. When a company has internal and external weaknesses, it often faces an existential crisis, and cost reduction may become the main measure to change the disadvantage. When the enterprise's cost situation deteriorates, the supply of raw materials is insufficient, the production capacity is insufficient to realize the economies of scale, and the equipment is aging, which makes it difficult for the enterprise to have a great action in cost, then it will force the enterprise to adopt the strategy of target aggregation or the strategy of differentiation, in order to avoid the disadvantages of cost and the threats brought by the causes of cost.SWOT analysis used in the analysis of the enterprise's cost strategy can give full play to the strengths of the enterprise, take advantage of the opportunity to Overcome weaknesses, avoid risks, obtain or maintain cost advantages, the enterprise cost control strategy is based on the analysis of internal and external factors and the judgment of the competitive situation. If you want to fully understand the strengths, opportunities, weaknesses and risks facing or about to face; value chain analysis and benchmarking analysis, etc. all provide methods and approaches.