Organizational capability refers to an organization's inherent ability to use its strengths to exploit opportunities and overcome weaknesses and threats. It is a potential to perform better through effective use of resources. An organization's capabilities are determined by its tangible and intangible resources as well as its behavior in utilizing resources. Developing a profile of an organization's financial, marketing, operations, management, and personnel capabilities is important for understanding its strategic advantages and competencies which stem from its strengths and weaknesses.