Question

Change in technology, political factors, demand of population are ______ factors

• A. Internal
• B. External
• C. Both (a) & (b)
• D. None of above

Answer 1

The correct option is B External

Environment scanning can be defined as the process by which organisations monitor their relevant environment to identify opportunities and threats affecting their business. The environment scanning is applied to both external as well as internal scanning process as business environment includes both external as well as internal environment in which the business is practiced.

External environmental scanning basically includes social environment known as general forces as well as task environment which are known as specific forces as they have a direct relationship from the business. These includes change in technology, political factors, demand of population etc.