Question

Select the correct statements about internal environment factors:

i. Company image and reputation affect the organization’s ability to secure finance and partnerships.
ii. Management approach and organizational structure do not influence company performance.
iii. Physical resources like production capacity and machinery are internal factors affecting a business.
iv. Financial health and capital structure are external factors.

• A. i and iii
• B. i, ii and iii
• C. ii and iv
• D. i, iii and iv

Answer 1

Answer:

A. i and iii

• Company image positively impacts finance and partnerships, and physical resources are internal factors. Statement ii is false as management approach and structure significantly impact company performance. Statement iv is incorrect because financial health and capital structure are internal factors.