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Exam (elaborations)

MNG3702 EXAMINATION GUIDE 2023

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Uploaded on
October 18, 2023
Number of pages
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Written in
2023/2024
Type
Exam (elaborations)
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MNG3702 EXAM GUIDE 2023

062621185/0680538213/0717513144


DISCLAIMER: THIS IS NOT AN OFFICIAL GUIDE FROM UNISA. THE GUIDE IS
NOT PREPARED NOR APPROVED BY UNISA, RATHER REPRESENTS A
POSSIBLE SOLUTION TO THE TASK CONSISTENT WITH THEORY OF
MNG3702. WE BELIEVE THIS WILL BE A GOOD STARTING POINT AS IT WAS
PREPARED BY OUR TEAM OF PROFESSIONAL PRIVATE TUTORS WHO ARE
EXPERTS IN THE FIELD, AND IT WAS PREPARED USING VARIOUS SOURCES.

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, MNG3702 EXAM GUIDE 2023

062621185/0680538213/0717513144

Question 1

Make a judgement with regards to the absorptive capacity of Tesla Inc. In your
answer, you need to do the following:

1.1 Define the concept absorptive capacity. (2 marks)

Absorptive capacity is defined as the ability of an organisation to recognise the value
of new, external information in order to assimilate as a useful tool to address its
problems. For example, in Tesla`s mission statement, one can argue that, the
organisation has the ability to look into the future as it priorities renewable energy to
solve current global problems.

1.2 Make a judgement with regards to the absorptive capacity of Tesla Inc.
based on the four dimensions that determine the absorptive capacity of an
organisation. (4 marks of which 1 mark will be allocated for each one of the
four dimensions of absorptive capacity and the application thereof to Tesla
and 1 mark to the judgement of the absorptive capacity of the company)



Acquisition, assimilation, transformation, and exploitation are the four fundamental
pillars that support absorption capability. The first two dimensions represent
prospective absorptive capacity, whereas the latter two dimensions represent
achieved absorptive capacity.

Acquisition of new information

The ability of an organisation to obtain important external information is referred to
as the acquisition dimension. This might be due to dominating reasoning, which
dictates that managers limit information to what they deem critical.

Case application: Through the organisational culture, Tesla Inc.’s management
optimizes employees to achieve creative and innovative behaviours. These
behaviours are essential to maintaining the technological innovation that forms part
of the company’s foundation.

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