DECADECA Travel and Tourism Practice Exam

What does the term 'competencies scope' refer to in a business context?

1. The range of financial investments a company will make

2. The range of technological and other core competencies that the company will master and leverage

3. The range of marketing channels available to the company

4. The range of customer demographics a company targets

The correct answer is: The range of technological and other core competencies that the company will master and leverage

In a business context, the term 'competencies scope' is most accurately associated with the range of technological and other core competencies that a company will master and leverage. This concept encompasses the specific skills, knowledge, and capabilities that an organization possesses and chooses to develop further to maintain a competitive advantage in the market. By focusing on mastering these competencies, a company can effectively differentiate itself from its competitors, innovate within its industry, and better fulfill the needs of its customers. This understanding highlights the importance of internal strengths and abilities, which ultimately play a crucial role in strategic planning and execution. A company's 'competencies scope' not only defines what it is capable of but also influences decisions related to resource allocation, partnerships, and growth opportunities.