Which of the following is NOT a characteristic of a strength in SWOT analysis?

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Study for the UCF MAN6721 Applied Strategy and Business Policy Exam. Use flashcards and multiple choice questions with hints and explanations. Ace your test!

In a SWOT analysis, strengths are internal attributes that can help an organization achieve its objectives and gain competitive advantages. A significant risk does not align with the nature of strengths.

Strengths typically include advantages such as resource superiority, the ability to enhance competitive performance, and effectively meeting market needs. These characteristics signify capabilities or resources that can be leveraged to enhance an organization's position or performance in the market.

In contrast, a significant risk pertains to potential obstacles or threats that can negatively impact the organization. It is associated more with weaknesses or threats in the SWOT framework rather than strengths. Thus, recognizing that a significant risk is not a characteristic of a strength clarifies the distinction between assets that can be capitalized on versus potential downsides that must be managed.