Final answer:
Project Scope refers to the option 2. Process of defining and controlling what is included and excluded from a project. It determines the project's boundaries, which informs stakeholders about what to expect and is vital in the problem definition step.
Step-by-step explanation:
The textbook definition of Project Scope is best matched with option 2: The process of defining and controlling what is included and excluded from a project. This involves a clear understanding of the boundaries and deliverables of the project. A well-defined scope includes identifying all the work required, which aligns with the broader project goals, deliverables, and tasks, but is distinct in its specific focus on the parameters within which the project must operate and the limits of what work is to be included and excluded.
Project Scope is critical because it delineates the edges of a project, much like the boundaries of a photograph, and informs all stakeholders about what can be expected as the project progresses. Identifying the project scope is also a pivotal part of the problem definition step, where the needs of customers, market positions of competitors, regulatory and technological constraints, and design resources are considered to gain a clear understanding of the project's parameters.