Question

Strategic planning can be broken down into a six step process or cycle. Which of the following steps involves a review of the external environment to determine unfavorable trends?

A. Identification and evaluation of strategic issues
B. Internal and external assessments
C. Analysis of strengths and weaknesses
D. Analysis of opportunities and threats
E. Selection of strategic priorities

Answer 1

Answer:

The correct answer is letter "D": Analysis of opportunities and threats.

Explanation:

Part of the Strategic Planning involves making a SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis. By identifying Opportunities and Threats, a company is able to know what are the potential external factors of the organization that could harm the business or that could represent chances to make a profit.