“SWOT is an acronym for the internal Strengths and Weaknesses of a firm and the environmental Opportunities and Threats facing that firm. SWOT analysis is a widely used technique through which managers create a quick overview of a company’s strategic situation. The technique is based on the assumption that an effective strategy derives from a sound “fit” between a firm’s internal resources (strengths and weaknesses) and its external situation (opportunities and threats). A good fit maximizes a firm’s strengths and opportunities and minimizes its weaknesses and threats. Accurately applied, this simple assumption has powerful implications for the design of a successful strategy.”

Target 

Target Corporation (Target) is a retailer which operates large format general merchandise and food discount stores. Being one of the leading retailers in the US, Target enjoys a strong market position which further enhances its market penetration opportunities and adds to its bargaining power. However, a prolonged economic slowdown in the US would impact the consumer’s discretionary spending capacity and in turn affect the demand for Target’s products adversely.