Tips For Success

How to Use TOWS Analysis to Build Your Business Strategy

Business Strategy

Navigating the complex world of entrepreneurship requires more than just a great idea and a passion to see it come to life. A solid business strategy is one of the key elements that can set a business apart. Creating a business strategy is where the TOWS analysis comes into play. Using the traditional SWOT analysis, TOWS enables enterprises to derive actionable strategies from their Strengths, Weaknesses, Opportunities, and Threats. This blog aims to guide you through the intricacies of TOWS and how you can apply it to create an effective business strategy.

What is TOWS Analysis?

TOWS is essentially a framework that allows you to analyze these four elements: Threats, Opportunities, Weaknesses, and Strengths and devise strategies by pairing them in different combinations. Here’s how they intersect:

  • SO (Strengths-Opportunities) Strategies
  • WO (Weaknesses-Opportunities) Strategies
  • ST (Strengths-Threats) Strategies
  • WT (Weaknesses-Threats) Strategies

The Four-Step TOWS Process

Step 1: Perform a SWOT Analysis

Before diving into TOWS, conducting a thorough SWOT analysis is crucial. List your company’s Strengths, Weaknesses, Opportunities, and Threats in distinct categories. Use market research, customer feedback, and internal evaluations for a comprehensive view.

Step 2: Pair Elements to Formulate Strategies

Once you have your SWOT factors, you can pair them in the following way:

  1. SO Strategies: Leverage your strengths to maximize market opportunities.
  2. WO Strategies: Improve on weaknesses to pursue opportunities.
  3. ST Strategies: Use your strengths to counter any threats.
  4. WT Strategies: Mitigate weaknesses to defend against threats.

Step 3: Prioritize Strategies

Not all strategies are created equal. Some might yield quick wins, while others could be long-term investments. Evaluate each strategy regarding feasibility, impact, and alignment with your business goals. Prioritize them accordingly.

Step 4: Implement and Monitor

Once prioritized, these strategies should be integrated into your business plan. Implementation should be monitored closely to gauge effectiveness and make adjustments as needed.

Practical Tips for Effective TOWS Analysis

1. Be Specific

Generalities can make your TOWS analysis ineffective. The more specific you are about each strength, weakness, opportunity, and threat, the easier it will be to formulate actionable strategies.

2. Collaborate

The best TOWS analyses are often collaborative efforts. Invite team members from different departments to provide a well-rounded perspective.

3. Keep It Updated

TOWS is not a one-time activity but an ongoing process. Market dynamics change, as do internal business conditions. Make sure to revisit your TOWS matrix periodically.

4. Use Quantifiable Metrics

Use data and metrics to support your SWOT and TOWS analyses whenever possible. Presenting data can make your strategies more grounded and easier to measure for effectiveness.

5. Execute Diligently

The best strategies are worthless if not executed well. Ensure you have the resources and capabilities to implement your strategy.


TOWS analysis can provide an enriched landscape to build effective business strategies. By focusing on a business’s internal strengths and weaknesses and how these can be aligned with external opportunities and threats, TOWS offers a more nuanced approach to strategic planning.

In the fast-paced, ever-changing business environment, having a tool that allows for introspection and market analysis can be invaluable. So, grab a pen and paper (or a whiteboard and markers) and start plotting your TOWS matrix. You might find the path to business success more effortless than you thought.