A Situation Analysis Requires a Firm to Consider the External

question 197

Multiple Choice

A situation analysis requires a firm to consider the external forces and trends that affect it, either favorable or unfavorable. Which scenario is an example of an external force?

• A) The firm buys its own fleet of trucks, so it no longer needs to hire a trucking company for distribution.
• B) A hiring freeze is put into place. Although no one is fired, no one can be hired.
• C) A goal is set to decrease production costs with new equipment.
• D) A city government bans plastic straws inside all restaurants and bars in the city limits.
• E) Shareholders are rewarded with a sizable dividend check.

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Definitions:

Performance Appraisal

A systematic evaluation process by which an employee's job performance and productivity are assessed, typically by their supervisor.

Growth Opportunities

Potential scenarios or pathways for personal or professional development and expansion, often leading to increased competence or market share.

Promotions

The act of raising someone to a higher position or rank within an organization, often accompanied by increased responsibilities and benefits.

Reward Allocation

The distribution of financial or non-financial benefits among group members based on their contributions, performance, or recognized needs.