A market analysis investigates the attractiveness and dynamics of a particular market within a particular industry sector. It is part of the industry analysis and, in turn, of the global environmental analysis. Through all these analyses, the strengths, weaknesses, opportunities and threats (SWOT) of a company can be determined. Finally, appropriate corporate business strategies are defined with the help of the SWOT analysis.
Market analysis is also known as a documented research of a market that is used to inform a company's planning activities, specifically with regard to decisions about inventory, purchasing, expanding/contracting labor, increasing number of facilities, purchasing capital equipment, promotions, and many other aspects of a company.