Corporate scope is shaped by:
A)Industry conditions.
B)Firm capabilities.
C) Institutional constraints.
D) All of the above.

Question

Quizplus · Accepted Answer

Corporate scope is influenced by a combination of industry conditions, firm capabilities, and institutional constraints. Industry conditions relate to the opportunities and challenges in the external environment, such as changes in technology, customer preferences, and competition. Firm capabilities refer to the resources, knowledge, and skills that the company possesses, which may enable it to pursue certain strategic options. Institutional constraints encompass the legal, regulatory, and cultural factors that shape the social and political context in which the firm operates. All of these factors interact to determine a company's scope of activities and its ability to achieve its objectives.

Corporate Scope Is Shaped By