SWOT Analysis - An easy to understand guide

SWOT is an acronym for Strengths, Weaknesses, Opportunities and Threats. By definition, Strengths (S) and Weaknesses (W) are considered to be internal factors over which you have some measure of control. Also, by definition, Opportunities (O) and Threats (T) are considered to be external factors over which you have essentially no control.
SWOT Analysis is the most prominent tool for audit and analysis of the overall strategic position of the business and its environment.
Its key purpose is to identify the Strengths, Weaknesses, Opportunities and Threats in order to develop a coherent strategy that will create a specific strategic plan that will best align an organisation’s resources and capabilities to the requirements of the environment in which the firm operates.