How to Do a SWOT Analysis of a Jewelry Store

For owners and operators of jewelry stores, both awareness and strategy are essential to running a successful business. A popular business planning tool is the Strength, Weakness, Opportunities and Threats or SWOT analysis. Performing this analysis can provide you with substantial review of your business.

What You'll Need:

• Notepad


• Pencil

1. On a notepad, draw four quadrants and label them as follows: Strengths, Weakness, Opportunities and Threats.


2. In the first quadrant, strengths, list all the strengths in your business such as selection, pricing, hours, financial strength, quality of gems, specialty items you carry, client base and your business location. List any strength that you can think of.


3. In the second quadrant, weaknesses, create a list all the weakness found within your jewelry business such as poor performance, newness of business, location, financial resources, excess inventory, cash flow problems, sub-par employees, security problems or outdated branding.


4. In the opportunities quadrant, record any areas of possibility within your jewelry store business. This list can include areas that you feel you can overcome weakness in or strategic options for your market. For instance, if a jewelry store in your area is going out of business. You're being presented with an excellent opportunity to take of that market.


5. In the last quadrant, which is threats, create a list of difficulties or problems you foresee. In reverse of the previous example, say a new jewelry store is opening up in your local area. The opening of the new business becomes a threat to your business because of the possibility of the lost of your client base.