Which term denotes external factors that could harm the business?

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Multiple Choice

Which term denotes external factors that could harm the business?

External factors that could harm the business are called threats. This term is used in SWOT analysis to describe outside conditions or events that pose risks to success, such as economic downturns, new competitors, regulatory changes, or disruptions in supply chains. It’s important to distinguish threats from opportunities, which are external factors that could help the business grow. Strengths and weaknesses, on the other hand, are internal factors—things the business does well or lacks. So threats precisely identify those external conditions that could cause harm.

External factors that could harm the business are called threats. This term is used in SWOT analysis to describe outside conditions or events that pose risks to success, such as economic downturns, new competitors, regulatory changes, or disruptions in supply chains. It’s important to distinguish threats from opportunities, which are external factors that could help the business grow. Strengths and weaknesses, on the other hand, are internal factors—things the business does well or lacks. So threats precisely identify those external conditions that could cause harm.

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