Final answer:
A SWOT analysis helps marketers assess a business opportunity by looking at strengths, weaknesses, opportunities, and threats, both internally and externally.
Step-by-step explanation:
To determine if an opportunity is attractive or unattractive for a firm, marketers can use an analysis of the external and internal environments such as SWOT analysis. SWOT, which stands for Strengths, Weaknesses, Opportunities, and Threats, is a tool that helps in assessing the strategic position of a business by looking at internal factors (strengths and weaknesses) as well as external factors (opportunities and threats). This comprehensive overview assists in identifying the areas where the firm can capitalize on its strengths, improve its weaknesses, seize opportunities, and mitigate threats.
For instance, if a company identifies a strong brand image and high customer loyalty as its strengths, it could leverage them to expand into new markets. In contrast, by recognizing a threat such as increasing competition, the company can take steps to innovate or adjust its strategy to maintain its market position. Similarly, SWOT analysis can help in spotting opportunities that align with the company's capabilities, thus guiding decision-making for growth and investments.