SWOT Assessment

A scan of the internal and external environment is an important part of the strategic planning
process. Environmental factors internal to the organization usually can be classified as Strengths
(S) or Weaknesses (W). Those external to the organization can be classified as Opportunities (O)
or Threats (T). This is an analysis which should take into consideration the real estate´s specific
characteristics and act according to the market´s characteristics for the area where the real estate
is visible.

Advantages

SWOT assessment is a preliminary decision-making tool that sets the stage for strategic planning

SWOT assessment provides a holistic snapshot of the relationship between assets and limitations

SWOT methodology can condense large number of situational factors into a manageable number.

Internal analysis of the real estate.

 Strengths (positive points).

 Weaknesses (negative points).

External analysis of the real estate.

 Opportunities (positive elements).

 Threats (negative elements).

Today, the Ethiopian Real Estate market is hotter than ever, especially after the new reforms
being introduced in every sector of Ethiopian society.

These reforms have reignited the real estate market in Ethiopia due to the ever growing
demand for homes from both the local population and the Ethiopian diasporas.

 Internal analysis of the real estate.

Strengths (positive points).

 provide steady cash flow in the form of rentals

 property will go up in value over time

 Valuation of the different capacities.

 Individual abilities reflected in a group.

 Higher level of available resources.

 Good levels of proactivity, assertiveness and resilience.

 Well-defined individual competences.

 Well-defined action conventions.

 An effective and productive real estate team.

Weaknesses (negative points).

 High level of resistance and adaptability to changes.

 Gaps in the organizational leadership.

 Motivational problems of the staff.

 Limited levels of the individual abilities.

 The stress and the difficulties to process them.

 Lacks in the social abilities and training.

 Absence of organizational policies.

  External analysis of the real estate.
Opportunities (positive elements).

 Implement the new technologies in an effective way.

 Weakening of the competition.

 Strategic real estate visibility.

 An effective use of the new ways of communication.

 International real estate strategy.

Threats (negative elements).

 Take on high levels of risk.

 Changes of the real estate positioning environment.

 Changes in the real estate market.

 Changes of the potential buyers´ preferences.

 Eventual legal modifications.

 inflation

Based on the SWOT model, the real estate´s potential and the potential of its real estate  team is the
result of the combinations between the strengths and opportunities. Once determined these two, we
can detect the strategically lines of action in order to get the best results.

In the same time, the limits of the real estate as an organization will be determined by the combination
between the weaknesses and threats that the applicable model reflects.
It is highly important that the real estate clears the aspect of the risks that it should assume in the
organization and the risks will always be determined by the combination between its strengths and
threats.

On the other hand, the challenges that the real estate has to confront are determined by the result of
the combination between the weaknesses and opportunities.