In a SWOT analysis, which item is normally classified as an opportunity?
Correct answer: C. A competitor's withdrawal from the market
- A. A firm's outdated production equipment
- B. The firm's high employee turnover
- C. A competitor's withdrawal from the market
- D. A shortage of working capital
Explanation
An opportunity is a favourable external condition that a business may exploit, such as a competitor leaving the market. Outdated equipment, high turnover and limited working capital are internal weaknesses.
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About The Business Environment
Business environment includes the internal factors and external forces that affect business decisions, performance and survival. It covers customers, competitors, suppliers, government, technology, economic conditions, society, law and ecology, including the distinction between the microenvironment and the wider PESTLE environment.
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