The Most Important Determinants of an Organization's Overall Strategic Position

question 61

True/False

The most important determinants of an organization's overall strategic position are considered to be the two internal dimensions, financial position (FP), and competitive position (CP), and the two external dimensions, industry position (IP), and stability position (SP).

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Definitions:

Plantwide Factory Overhead Rate

A single overhead absorption rate used throughout a manufacturing plant, applied to all cost units irrespective of the department where they were produced.

Overhead Costs

Expenses related to the day-to-day running of a business that cannot be directly linked to any specific business activity or product.

Departments

Divisions within an organization, each focusing on a specific area of function, such as sales or human resources.

Products

Products are items or services created through a process and made available for consumer purchase or use, serving identified market needs or desires.