Unit 1 AOS3 - The External Environment - Business Management

What does the external environment of a business include?

• Only political and legal factors

• Only economic and technological factors

• Legal, political, social, economic, technological, global, and corporate social responsibility factors

• Only global and corporate social responsibility factors

What is the primary purpose of considering external environmental factors in business planning?

• To reduce operational costs only

• To influence the decisions made when planning a business

• To focus solely on internal management issues

• To increase product quality only

Which of the following is NOT listed as a key knowledge area in Chapter 3?

• Societal attitudes and behavior

• Technological considerations

• Internal corporate finance

• Economic conditions

What aspect of the external environment is covered under the section "Global considerations: Part 1" in Chapter 3?

• Local market trends

• Domestic employment levels

• Overseas markets and offshoring of labor

• National technological advancements

According to Chapter 3, which of the following is a focus under "Corporate social responsibility (CSR)"?

• Maximizing shareholder wealth exclusively

• Environmental considerations and socially responsible production

• Reducing operational costs only

• Focusing solely on domestic issues

What can businesses do to manage the effects of external factors on their performance?

• Ignore external factors as they are unpredictable

• Focus solely on internal management issues

• Assess and respond to external factors to make better informed decisions

• Change the external factors to suit their needs

Which of the following is NOT listed as a macro factor that Qantas considers during business planning?

• Technological advancements

• Economic conditions

• Employee personal interests

• Legal and government regulations

What are operating factors in the context of a business environment?

• Factors that a business can control and are related to internal management only.

• The primary external factors impacting a business that it has some control over.

• Elements that solely depend on market fluctuations and economic conditions.

• Internal policies and procedures that do not involve external stakeholders.

what is the difference between macro factors and operating factors?

• Macro factors are controlled by the business, while operating factors are not.

• Operating factors are specific to each business, whereas macro factors impact all businesses in an industry.

• Operating factors are less significant than macro factors in business planning.

• Macro factors relate to internal business operations, unlike operating factors.

Which of the following is not included in the external environment of a business?

• Competitors' behavior

• Corporate social responsibility considerations

• Societal attitudes and behavior

• Internal management decisions