ICAG L3 Strategic Case Study Practice Questions - ICAG Level 3 Paper 3.4 Strategic Case Study Examination Exam

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A West African haulage firm conducts a SWOT analysis and identifies a core Strength (a fleet of dual-fuel CNG trucks) and a major Opportunity (the implementation of the African Continental Free Trade Area / AfCFTA reducing cross-border transit tariffs). Which strategic posture represents an 'SO' (Strength-Opportunity) strategy for this firm?

Leveraging the fuel-efficient fleet to aggressively capture long-haul cross-border trade corridors under AfCFTA. Hedging foreign exchange risk to compensate for truck fleet maintenance costs. Subsidizing traditional diesel trucks to clear existing domestic inventory. Divesting cross-border operations to focus strictly on local municipal haulage.

Correct Answer:

Leveraging the fuel-efficient fleet to aggressively capture long-haul cross-border trade corridors under AfCFTA.

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