SWOT analysis is a strategic planning framework used to evaluate an organisation's competitive position. It stands for Strengths, Weaknesses, Opportunities, and Threats. The framework is explicitly divided into two dimensions: internal and external. Strengths and Weaknesses are internal factors that originate within the organisation itself. Opportunities and Threats are external factors arising from the macro-environment. By identifying internal Weaknesses and external Threats, this model provides a comprehensive structure for exploring both internal and external risks to a business.

A. Porter's 5 Forces: This model is used for industry analysis, focusing exclusively on external competitive pressures and does not assess a company's internal factors.

B. STEEPLE: This is a macro-environmental analysis tool that examines only external factors (Social, Technological, Economic, etc.) and does not consider internal risks.

D. Poisson Distribution: This is a statistical tool used to model the frequency of events over a specific period, not a strategic framework for identifying the sources of business risks.

1. Chartered Institute of Procurement & Supply. (2018). Managing Supply Chain Risk (L5M2). CIPS Profex Study Guide. Chapter 2: Risk and the Supply Chain

Section 3: Risk Identification. The guide details SWOT as a tool for assessing internal strengths/weaknesses and external opportunities/threats.

2. Johnson

G.

Whittington

R.

Scholes

K.

Angwin

D.

& Regnér

P. (2017). Exploring Strategy (11th ed.). Pearson Education. Chapter 3

Section 3.5

"SWOT

" pp. 82-84. The text explicitly states

"SWOT summarises the key issues from the business environment and the strategic capability of an organisation that are most likely to impact strategy development." It clearly delineates Strengths/Weaknesses as internal and Opportunities/Threats as external.

3. Hill

C. W. L.

& Jones

G. R. (2012). Strategic Management: An Integrated Approach (10th ed.). Cengage Learning. Chapter 3

"Internal Analysis: Distinctive Competencies

Competitive Advantage

and Profitability

" pp. 99-101. This chapter describes SWOT as a methodology to align a company's internal resources and capabilities (Strengths and Weaknesses) with the external opportunities and threats in its environment.