SWOT analysis can be used to illustrate the current position of Skanska in UK construction market and factors affecting the business, the abbreviation standing for strengths, weaknesses, opportunities, and threats associated with the business.
The following table illustrates Skanska SWOT analysis for UK.
Large portfolio of construction services
Positive brand image contributed by ‘green’ initiatives
Presence of some iconic projects in portfolio (e.g. London’s The Gherkin)
Occasional cashflow issues
High operational costs
Overall higher costs of services
Development of separate division for lower-budget projects
Entering the marketplace of emerging economies e.g. China and India
Development of new niche markets
Delay of expected recovery of UK construction industry
New competitors with access to cheaper resources entering the market
Legislative changes in UK with possible negative impacts