Question

p. 82) Which of the following is NOT a limitation of SWOT (Strengths, Weaknesses, Opportunity, Threats) analysis? A. Organizational strengths may not lead to competitive advantage. B. SWOT's focus on the external environment is too broad and integrative. C. SWOT gives a one-shot view of a moving target. D. SWOT overemphasizes a single dimension of strategy.

Answer 1

Answer:

The correct answer is letter "B": SWOT's focus on the external environment is too broad and integrative.

Explanation:

The SWOT analysis is a study of the internal and external factors that influence companies' operations and from which the entity can take advantage of or steps to control risks. The internal factors are the Strengths and Weaknesses while the external components are the Opportunities and Threats of the firm.

The SWOT's focus on the external environment is broad and integrative but such characteristic represents an advantage not a limitation of this strategic study.