Which strategy analyzes the external environment for organizations?
A)Five-Forces Analysis
B)SWOT analysis
C)Differentiator
D)Cost Leader

Question

Quizplus · Accepted Answer

Five-Forces Analysis is a strategy that analyzes the external environment for organizations, specifically focusing on the competitive forces that affect them. It looks at factors such as the bargaining power of suppliers and buyers, the threat of new entrants, and the level of rivalry among existing competitors. SWOT analysis, on the other hand, is a strategy that analyzes both the external and internal environment of an organization, examining its strengths, weaknesses, opportunities, and threats. Differentiator and Cost Leader are types of competitive strategies that organizations can employ internally to gain an advantage in the market.

Which Strategy Analyzes the External Environment for Organizations