Administration and Management

What is the SWOT and how to apply it in your bakery business?


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In every kind of company and organization, including bakeries, it is important to internally and externally assess all occurrences. In this regard, the SWOT analysis is a very useful for conducting such evaluations.

Especially because it makes it more feasible to establish strategies that are adequately adapted to the challenges and new opportunities for growth. As well as, for the undertaking of a new project or business.

From gaux we want to share information about this tool that can help your business to detect internal and external factors. Specifically, those who influence the success of your company.

What is the SWOT?

The SWOT is an acronym whose initials mean: Strengths, Opportunities, Weaknesses and Threats.

In general terms, it is a technique used to carry out evaluations of internal and external aspects of the business. Specifically, those that have a positive or negative impact on the development of your bakery.

With the result of the analysis you can design effective strategies with multiple applications. But what is the SWOT?

Well, it is an effective tool to study the strengths and weaknesses of a company against the competition. Also, identify opportunities and threats over which ones your bakery project has little or no influence.

Generally, we don't know where to start a SWOT analysis.

The SWOT allows you to think about existing development opportunities in the market and prepare an action plan to protect yourself from possible threats Share on X

Elements of the SWOT analysis

SWOT: Kennen Sie die Elemente dieser Analyse
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The SWOT analysis helps to visualize competitive and improvement opportunities; as well as the possible internal and external obstacles that may arise.

Let's see in the business context, what each of these elements are about:


They represent the strengths, advantages, merits, attributes and differentiators of the bakery. By detecting the positive aspects of the business, you can lay the foundation for the future success. For example:

  • Offer fresh products following the tradition of artisan bakery. This strength may attract many customers who want to escape excessive consumption of industrial products.
  • Have a store ideally located on a busy and frequently visited street. This enhances the bakery's visibility, leading to a direct influence on sales.
A tasting area offers customers the opportunity to try different products while they wait to be served Share on X


They represent all the possibilities, skills and eventualities from which the bakery can benefit. That is, all those aspects that can help the business achieve its goals. For example:

  • At the end of the day, offer unsold items. Selling products at half price allows you to attract new consumers with limited budget. Thus, you fight against waste and the total percentage of unsold products.
  • Organize workshops to learn how to make bread at home. In addition to sharing basic bakery knowledge, it is a real opportunity to increase the visibility of the business.


They represent the defects, deficiencies or vices that occur within the bakery and are equivalent to unfavorable points compared to its competitors. For example:

  • Lack of training, equipment or technology puts any bakery at disadvantage.
  • Cold, sad environment with unfriendly staff. A cold welcome, poor decoration and a hostile staff can make customers feel unwelcome.


They are problems, challenges, obstacles or difficulties that your bakery may face and they come from any type of situation. Threats are external factors that are usually beyond our control.

  • Customers have to wait a long time to be served. This situation can cause frustration or even disappointment among customers.
  • Bad reviews on social networks. They can hinder the development of your bakery. Make sure you take care of your reputation so that consumers feel like buying your products.

Why is it important to perform a SWOT analysis?

The SWOT analysis facilitates to identify and have a broader vision of the elements, positive and negative. Specifically, those that have the most impact on your business and sector.

It also stands out for helping to detect internal and external obstacles that may arise. With that information you can draw up an effective strategy and planning to overcome them and achieve the objectives.

As a result of the analysis you can increase the performance of your employees. Especially since they end up focusing on strengths and even trying to get better results.

The SWOT allows you to plan for growth and get the information you need to set your team up for success Share on X

How to apply the SWOT analysis of your company?

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To apply a SWOT analysis in your bakery, you must implement the following steps:

  • Create a team of collaborators.
  • Know the attributes of each element of the SWOT analysis.
  • Be clear about the objective of the analysis.
  • Do research to understand your market and industry.
  • Identify strengths. Analyze your competitive advantages and internal processes, evaluate your production resources and equipment, monitor your achievements and consult your clients.
  • Determine weaknesses. Evaluate your production processes, review your resources, study your finances, consult your clients and analyze your competitors.
  • Describe the opportunities. Analyze your market, update yourself on trends and new technologies and equipment. Ask your customers about products or services that they would like to consume and receive in your bakery.
  • Recognize threats. Analyze the market, assess the economic conditions surrounding your bakery and stay up to date on regulations and legislative changes.
  • Assigns a level of importance to the factors resulting from the analysis.
  • Define strategies with a reaction approach. To solve the weaknesses.
  • Establish strategies with a survival approach. To address the threats you identified.
  • Create strategies with a focus on success. To take advantage of your strengths.
  • Develop strategies with an adaptation approach. To make the most of opportunities.
  • Do a final review.


The SWOT allows you to create strategies to know how to successfully launch a product on the market. Also, exploit a new potential of your bakery or develop effective strategies that help you to anticipate any threat.

Taking this approach is a key success factor in sharpening your ability to analyze and evaluate your bakery. As well as, to contextualize the situation or improvement projects, brand strengthening and growth.

Finally, it is a useful tool to get a vision of how bakeries will evolve in the future. At gaux we have a team of experts who can help you carry out the SWOT in your bakery and detect what you need to be successful.

Contact us and find out how we identify the right solutions to meet your business requirements.

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