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Question

Out of the following which would you NOT classify as a political-legal factor in the external environment?

A
European Union directive on working hours.
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B
Government policy on corporate and personal income taxes
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C
Regulatory requirements for the telecommunications industry.
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D
Consumer attitudes to greater competition in the gas and electricity industries
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Solution

The correct option is D Consumer attitudes to greater competition in the gas and electricity industries
Consumer attitudes to greater competition in the gas and electricity industries is not classified as a political-legal factor in the external environment. Political environment refers to legislature. The political environment of a country gets influenced by the political organizations such as philosophy of political parties, ideology of government or party in power, nature and extent of bureaucracy influence of primary groups.

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