When Comparing SWOT Analysis Framework with Porter's Five Forces, One

question 17

Multiple Choice

When comparing SWOT analysis framework with Porter's Five Forces, one can say: Please select all that apply.

• A) SWOT analysis is industry-specific while Porter's five forces is company-specific.
• B) The five forces framework allows an organization to make informed decision about whether an industry is attractive to stay or invest in.
• C) Accurately estimating future trends in the five forces should also provide an organization with an indication of future profits.
• D) SWOT analysis is only undertaken from the perspective of an incumbent firm.

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Definitions:

Externality Problems

Issues arising from the impact of one person's actions on the well-being of a bystander, which are not reflected in market prices.

Marginal Benefit

The extra pleasure or advantage obtained from acquiring or generating an additional unit of a product or service.

Tax Cost

The economic expense associated with the imposition of taxes, including the burden on consumers or producers.

Resources Allocation

It involves distributing available resources among various competing needs or projects in order to achieve desired objectives or optimize outcomes.