Strategic fit exists when organizational activities reinforce and complement each other in a way that creates competitive advantage. For example, procurement, production, distribution, customer service, technology, and marketing may be designed to support the same strategic position. This alignment makes the organization harder to imitate and improves performance consistency. A merger is a legal or business combination between entities. A joint venture is a shared business arrangement between two or more parties. A strategic goal is an objective the organization seeks to achieve, but it is not the interaction among activities. Internal audit can assess whether processes, controls, incentives, and resources support strategic fit or create conflicting priorities. Therefore, Option B is correct.
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