Chapter 4

Question 1

External Environment

Answer 1

Specific Environment: Immediate impact
General Environment: Broad global conditions that affect the organization
Global Environment: Major factors affecting managers in organizations of all sizes

Question 2

Environmental Uncertainty

Answer 2

Degree of change: How dynamic or stable the external environment is.
Environmental complexity: The number of components in an organization’s external environment.

Question 3

Stakeholders

Answer 3

Any constituencies in the organization’s external environment that are affected by the organisations decisions and actions

Question 4

Why are Stakeholders relationship management important?

Answer 4

Can lead to improved organisational performance

It’s the right thing to do given the interdependence of the organisation and its external stakeholders