Page 70 - Azerbaijan State University of Economics

THE JOURNAL OF ECONOMIC SCIENCES: THEORY AND PRACTICE, V.76, # 2, 2019, pp. 56 -73

Table 3. SWOT Matrix.
Positive factors Negative factors

Strengths Weaknesses
(characteristics of a team or project, which are (characteristics weakening company or
strengths if compared to other relevant project)
Internal environment  Opportunities of realization of intellectual  Lack of investment capital
 Increase of accounts payable
companies)
 Multi-aspect company
 Frequent change of director
ground work
construction
of
 Amortization
 Reserves of production capacities
machines and mechanisms
 Minor dependence of projects on each other
 Low salaries
 Comfortable territorial location (transportation
interchanges close to downtown)  Growth of social unrest
 Significant accounts receivable
 Established contacts with client  Growth of unprofitability
 High labor potential, labor dynasties
Opportunities Threats
which can contribute to achieving goals)
which might deter achieving goals)
External environment (external potential opportunities, i.e. factors (external potential threats, i.e. factors
 Uniting into association of construction  Aggressive behavior of competitors
 Loss of some parts of the market
organizations
 Decrease of energy resources prices
 Tax benefits  Instability of economic
environment
 Inflation

The results of the analysis are designed in the form of a multi-factor SWOT matrix,
which allows establishing connections between strengths and weaknesses of a
company, external an internal threats and opportunities. First, it is necessary to
reveal strengths and weaknesses, threats and opportunities, then define the links
between them which later can be used for the preparation of the company’s strategy.
Analysis of strengths and weaknesses is a foundation for development of alternative
strategies through which a company might increase its influence on the market
(L.S.Shevchenko, V.I.Torkatyuk, N.A.Kizim, A.L.Shutenko., 2008).

3.3 METHOD OF PROBLEM-SITUATIONAL ANALYSIS (PSA ANALYSIS)
The main task of PSA is the evaluation of potential competitiveness of organization
for realization of investment projects. Construction investments are made in a form
of capital investments.

High competitiveness of construction enterprise creates favorable conditions for
obtaining capital from investors, who are interested in investing into the companies
capable of effective disposal of its relevant assets. PSA can reflect all the principal
aspects of the company’s activity:

 Marketing (price policy, sale, advertisement and PR, construction quality);
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