The objectives of this study were (i) to analyze external and internal factors of bioethanol business unit in PT Perkebunan Nusantara XI and (ii) to evolve its development strategy. The study used A'WOT analysis, a combination of Analytical Hierarchy Process (AHP) and SWOT analysis. The results of A'WOT analysis are internal factors of company: strength is availability of raw materials (0.383) and weakness is high production costs (0.536). External factors of company: opportunity is market opportunity (0.340) and threat is the low market index prices (0.305). Strategy prioritized in the development of bioethanol business unit is reducing the cost of production to cut costs that are not important and increasing the efficiency of production facilities in order to gain more profit (0.271).