“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.”

United Technologies 

United Technologies Corporation (UTC) provides technology products and services to the building systems and aerospace industries. The company provides helicopters, elevators, air conditioning equipment, hydrogen fuel cells, life support systems, aerospace products and aftermarket services, and fire and security protection services. The company has strong market position in building systems and aerospace industries, which confers economies of scale and enhances the brand image of the company. However, the rising raw material prices would lead to the lower margins for companies such as UTC.