Strengths and Weaknesses of a Company With Examples

Strengths and Weaknesses of a Company With Examples - The resilience of an organization increases from the identification of its strengths and weaknesses. Thanks to this internal diagnosis, an entity can design an action plan to optimize its results thr…

The resilience of an organization increases from the identification of its strengths and weaknesses. Thanks to this internal diagnosis, an entity can design an action plan to optimize its results through this attention to available resources. In this article we describe the strengths and weaknesses of a company with examples that can serve as inspiration for each entity to analyze its corporate potential based on its present situation.

What are the strengths of a company


The strengths of a company are those positive aspects of the company. These strengths constitute a solid value for a company, therefore, they are a pillar of the corporate brand on which to continue building. The strengths of a company are a great opportunity, therefore, they must not only be maintained but also reinforced in the action plan to increase positive results.

However, what is truly important about strengths is their prior identification through analysis. That is, it is very important to identify the strengths of a company to know what it is that positively differentiates an entity from the existing competition in that market niche. To identify the strengths, an analysis should be carried out with, for example, the SWOT matrix, a useful tool to analyze a company. The positive and negative aspects are classified in the SWOT matrix, separating internal and external issues. Thus, the result is a table that includes strengths, weaknesses, opportunities and threats.

Examples of strengths of a company


The example is a clarifying resource to deepen this question. Here are examples of valuable strengths for the company:

  • Location of a business. For example, a clothing store located on the corner of a commercial area that has nearby parking lots and bus lines.
  • Human resources . What would a company be without the people who make it up? The stability of the team is an example of strength in the face of the opposite circumstance of frequent changes in the workforce as a result of dismissals and new hires.
  •  Digital transformation . Companies that invest in technology to take care of their online image are an example of how to be proactive at work and adapt to changes to carry out this digital transformation through effective resources. For example, the publication of a corporate blog, the design of a functional website or online marketing.
  • Specialization and low level of competition . For example, a person can increase their positioning in a specific sector by specializing in a catalog of quality products and services that, in addition, has a low level of competition.
  • Training for employees. Those companies that facilitate access to training by workers have the great strength of knowledge as a fundamental investment.
  • A story of its own . A corporate story that can be shared through the presentation section of the website.


What are the weaknesses of a company


The weaknesses of the company are those factors or areas that hinder or worsen the performance of the company. Weaknesses are those business issues that, when undergoing an evaluation process, do not reach the desired level of quality . However, in every weakness there is a possible strength when viewed from the perspective of opportunity.

In a complementary way to the strengths, you can identify the weaknesses of the company to know what are the points that can improve the organization. Through the identification of these possible shortcomings, it is possible to design a strategy to minimize their impact, attending to the needs and weaknesses of the company. Otherwise, by responding with indifference to the weaknesses of the company, the situation persists over time.

In this case, the SWOT matrix analysis technique can also be applied with the aim of knowing the weaknesses and threats and being able to turn them into strengths and new opportunities.

Examples of weaknesses of a company


Here is a selection of examples of weaknesses that can be part of a company:

  1. Bad relationship between partners. In those businesses managed by two people who constantly argue before their differences of opinion in the direction of the business, the consequences of the lack of cooperation will be seen. The importance of communication in the company is evident .
  2. Frequent complaints from customers. Consumer opinion is very important to business. When a company receives more negative than positive reviews or when it mismanages these negative comments, it has weaknesses in customer service.
  3. Lack of resources . It may happen that a company wants to invest more in a certain objective, however, it has the limit of available financing.
  4. Lack of leadership . Leadership is important in an organization since the leader guides the team in the action plan.
  5. Stagnation . The company has long been in a comfort zone in the absence of a proactive attitude. It is not innovated or updated. Stagnation causes external factors and chance to have more weight than the company's own ability to influence the appropriate decisions of the company. A website with an outdated image or a corporate blog that has not been updated for months are examples of points to correct so that this weakness does not further condition the brand image.


All these weaknesses of a company can constitute an opportunity for improvement. All companies have strengths and weaknesses. However, successful entities are those that are involved to maintain and develop their strengths to the maximum and to improve their weaknesses. This is only possible by making a diagnosis of the situation of each entity analyzed itself.

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