Starting a new business or company the owner must have a strategy plan that focuses on the company's strengths, weaknesses, opportunities, before opening the doors. Understanding the business SWOTT will help the development of the strategy plan and prepare for unforeseen problems that may occur within the internal and external environment. A SWOTT analysis, specifically, will enable Jean's rare find books, to specifically audit, plan and focus on key issues that arise in the business. External Trends
For the external analysis of Jean's rare find books, the selected external forces and trends mainly consider the economic forces, Competitive analysis forces, and technological forces
Competitive analysis focuses on the company's (Jean's rare find books) competitors Ray's books, and Blake's wholesales books warehouse the market has decreased in the past year. Ray's books control 10% of the market and Blake's wholesale books warehouse controls 20% of the market. Jean's rare find books has a competitive advantage over the competition, because the store has computer kiosks set up throughout the store with a touch of a bottom on your selected book it will give a history of the book, first and last owner, and where the book is located within the store. In addition, the store will have programs set up for high school and college students alike that will enable them to rent out available books using their school code, and student ID's at a price that fits their budget.
Strength: Offering rare books people cannot find, availability of signed, and first edition books of rare authors that people or individuals have not seen in years.
Weakness: Opportunities: The ability to advertise and connect with people looking for a book.
Threat: Larger store better technology
Trends: The trend shows improvement and the ability to change and move forward.
Economics facilitates the decisions making in the business considering the cost of products and services. "Economic factors concern the nature and direction of the economy in which a firm operates. Because consumption patterns are affected by the relative affluence of various market segments, each firm must consider economic trends in the segments that affect its industry" (Pearce & Robinson, 2009, p.94, Para 3).
Strength: Good economic conditions increases, the budget and improve the shareholder confidence.
Weakness: fluctuation in economic conditions weakens and affects the company's operations.
Opportunities: A boost in economic growth helps the expansion, and growth of the company.
Threats: Slow tourist season affect the business.
Knowledge in technology helps a business in the daily process on filing documents, receiving suppliers, helping staff members, and customers. The correct knowledge of technology decreases the day to day business processing of paper work.
According to Pearce and Robinson, (2009) A technological breakthrough can have a sudden and dramatic effect on a firm's environment. It may spawn sophisticated new markets and products or significantly shorten the anticipated life of a manufacturing facility" (p.98, Para 6).
Strength: Good technological skills help in operating a day to day business.
Weakness: technological breakdown of computer systems can put a business on whole causing loss of profits and customers.
Opportunities: With the advanced and upgrades of new technologies today, it will be easy to track merchandise in less time and will help satisfy suppliers, and customers.
Threats: The use of old and outdated technology systems will reduce the satisfaction, demands of suppliers, and customers thereby losing cash flow.
Trends: Technological advancement enables the company to create an atmosphere customers appreciate, and expect without outside interference.
Internal Forces and Trends
".The Internal Analysis of strengths and weaknesses focuses on