Though SWOT analysis is a very old technique but still companies are using it. Explain why SWOT analysis is still very much relevant for the companies.

The SWOT analysis is usually described with a 2x2 Matrix. The boxes in this SWOT matrix are labelled 'Strengths' and 'Weaknesses' i.e. internal factors and 'Opportunities' and 'Threats' i.e. factors from external environment. Though considered to a traditional technique, yet, SWOT analysis helps the companies in contemporary scenario as companies can design a marketing plan by analyzing their strengths, neutralizing their weaknesses, discovering new opportunities and creating a plan to deal with the threats. Therefore, SWOT analysis helps in effective setting of goals, strategies and tactics for creating a 'Best Marketing Plan'. Particularly, SWOT analysis tries to answer the following questions: What is core strength of the company? Whether it is technical prowess, people, product or logistics. What opportunities exist out there? It could be expansion into a new vertical with an existing resources. Another could be taking business to a new geographical area. Or, it could be expanding your product portfolio with another product line. What sets the business apart from its competitors? Whether it is resources, greater experience, trustworthy supplier relationships or better technology. How the company does neutralize a threat? How a weakness if not treated and dealt with, could get worse, and could become a potential threat, which in long term could put an opportunity and/or a strength in jeopardy.