SWOT Analysis of USA

Swot analysis of USA. United States of America (USA) is a country comprised of 50 states and situated in North America. The total area of the country consists of 3.8 million square miles and it makes her the world’s 3rd or 4th largest country in the world. The capital of the country is Washington DC.

It’s the world’s 3rd most populated country. Approximately more than 328 million people are populating the country, out of which New York is the most densely populated city.

Some of the main industries of the US are;

  • Minings
  • Lumber
  • Consumer Goods
  • Information technology
  • Food processing
  • Electronics
  • Chemicals
  • Telecommunication
  • Aerospace
  • Motor vehicles
  • Steel
  • Petroleum

Indians moved to North America from Siberia approximately 12000 years ago and the Europeans came here in the 16th century. Initially, it was the 13th colony of Great Britain on the east coast. The country came into existence after a revolutionary war with Britain from 1775 to 1783.

The USA falls under the category of the world’s highly developed country with the highest GDP and growth rate. According to an estimate, approximately 29.4% of the world’s total wealth is in the US.

Today, we’ll discuss the swot analysis of USA. Here we’re going focus on the internal and external factors that impact the growth and productivity of the country. If you want to learn about the external factors, check out the pestle analysis of the USA. Here’s the swot analysis of USA as follows;

Strengths of the USA 


The USA has the world’s most diverse population comprising of different ethnicities, races, and cultures. Many people often call her the melting pot of all the world’s ethnicities and cultures. It’s because of centuries of immigration from everywhere across the world.

Diversity is one of the main reasons for the growth and progress of the US. The combination of different cultures in one country doesn’t make things stagnant


The USA has got many advantages that contribute to its authority in the world’s market. Most importantly, she’s an economic, business, and tech superpower. The head office of the UN is in the US and she’s a permanent member.

Being a superpower makes it easier for her to influence the global market. She could easily build relationships and alliances based on her influence, management, fame, and power in worldwide affairs.

High GDP

The USA has got the world’s highest GDP (gross domestic product). According to an estimate, the annual GDP of the US in 2022 was 25.035 trillion US dollars, and it’s the 1st highest in the world. The annual per capita was 75,179 dollars and it’s the 7th highest in the world.

It’s the country’s financial strength that defines its supremacy in the world’s market and the global affair. The world doesn’t pay attention to poor countries.

Large Area & Population

The USA has also got the advantage of being the third-largest country in the world both in terms of population and size. The estimated total size of the US is 3.8 million square miles (approximately 9.8 million square kilometers). Roundabout 328 million people are living in the country. They both are a great advantage to the growth and productivity of the country.

Large Tech Companies

AppleFacebookGoogleAmazonMicrosoftWalmartPepsiCoca-ColaNetflix, Wells Fargo, Comcast, Cisco System, Chevron, Adobe, JP Morgan Chase, Boeing, Johnson & Johnson, Pfizer, Mastercard, Procter & Gamble, Merck & Co., Bank of America, Verizon, Intel, AT&T, Home Depot, UnitedHealth Group, and ExxonMobile are some of the world’s top company. They add tax revenue to the government.

Higher Buying Power

The USA has the world’s leading per capita earning; it means the net income of all the people. It would also suggest that people would have a higher buying power. The only reason people would have higher purchasing power is when they have a stable source of earning. The employment rate of the country is also high. The US customer market usually doesn’t worry about their household grocery expenses.

Advanced Nation

Whether it’s science, technology, medicine, research & development, and all areas of learning, the US is at the top of the list. No country has the world’s most advanced sophisticated science and tech institutes than the US.

Global Leadership

The country’s advanced institutes bring out the world’s top leaders in every field of life. Like politics, TV, dramas, movies, Hollywood, comedies, music, musical videos, and so on. They all attract the attention of the global audience.

Weaknesses of the USA

Economic Recession

The pandemic crisis has pushed the global economy into an economic recession. It’s no doubt that the US economy still has the highest GDP and per capita. But things are changing; many people have lost their jobs during the pandemic. The future of the US economy would be very challenging.

Expensive Place

Very few US manufacturers outsource their work to cheap laboring countries. The majority of them prefer to manufacture the product inside the country. It results in the form of increased cost and that impacts the retail price. In-house manufacturing makes the US one of the world’s most costlier places to live in.

Unequal Wealth Distribution

The USA has the world’s leading economy. According to an estimate, the total poverty rate in the US was 9.2% by the end of 2020. Approximately 567,715 people were homeless by the end of 2019. These statistics show the unequal wealth distribution in the world’s top countries. The gap between rich and poor has been increasing.

Costly Health Care System

The basic health care system of the US isn’t free and the government and insurance companies charge a huge amount of money. For instance, if a person has got into an accident and spent a week in the hospital. The minimum healthcare bill would be more than 30,000 dollars.

Racial conflicts

According to a study by Pew Research Center, every 6 out of 10 Americans say that racial conflict among whites and blacks is increasing. The USA is facing a very serious challenge of racial conflict.

Vast Landscape

As we know that the USA is the world’s third-largest country. The massive country’s landscape provides the country with a lot of natural resources. At the same, it also brings a lot of challenges in the form of natural disasters. Like droughts, hurricanes, floods, hailing, wildfires, and earthquakes. They cost the country billions of dollars.

Opportunities available to the USA

Increasing Exports

The USA should expand its market globally by increasing the volume of exports to other countries. She usually exports crude petroleum, refined petroleum, planes, cars, helicopters, and spacecraft. The exporting countries are Japan, Mexico, South Korea, China, and Canada. She should export to other developing countries as well.

New Tech Products

The USA could increase its market share by launching new products. It could be tech, industrial, financial services, pharmaceutical, video games, and other fields. There’s a lot of room for growth and development in every field.

Resolving Disputes

There are many conflicts in different parts of the world like Kashmir, Palestine, Syria, and others. The USA has got a major influence on international politics because of its technology and finances. If she could resolve those disputes by using its power and influence, it would save millions of lives. She would earn a lot of goodwill in return.

Threats USA has to face


There’s a cost of being on the top of the world that the USA has got many competitors in different fields. For instance, China is a trade competitor, Russia is a political competitor, and China, Japan, Singapore, South Korea, the UK, and Germany are the tech competitors of the US. They’re pushing the boundaries to be on the top. She has to work hard consistently to maintain her dominating position in the world market and global affairs.

High Consumer Debts

Millions of people lost their jobs in 2020 during the pandemic crisis. Now more and more people are relying on debt. Economists are suggesting that things would go worse in the post-pandemic world. When people are financially unstable, they would spend less. The business would go down due to lower spending. The crime rate would increase. That’s how the cycle of destruction revolves.

High Crime Rate

The crime rate in some of the states of the US is very high. The crime rate and racial discrimination destroy the core fabric of society. There are also rumors that foreign countries are interfering inside the US. Such interference would further complicate things.

Conclusion: USA SWOT Analysis Example Country

After an in-depth study of the swot analysis of USA, we’ve realized that the US is indeed a global leader in the world’s market. Now the country should be ready for the economic challenges, reduce foreign interference, and face increasing competition; while paying heed on the internal strengths weaknesses; external opportunities threats of swot analysis example country.

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