Question

Which of the following internal factors directly affect the planning and decision-making process within an organization?

i. Company mission and objectives
ii. Research and development (R&D) capabilities
iii. Economic inflation rate
iv. Value system of the founders

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

Answer 1

Answer:

A. i, ii and iv

• Company mission/objectives, R&D capabilities, and value systems are internal and can be shaped by management; these directly impact planning. Economic inflation rate is part of the external environment, not internal.