Why Is It Important to Undertake Macroenvironmental Analysis When the Micro-

question 5

Multiple Choice

Why is it important to undertake macroenvironmental analysis when the micro- environment has more impact on day- to- day operations?

• A) Because the macro and micro analyses are two key parts of the overall analysis and you would have an incomplete analysis otherwise.
• B) Because understanding trends in PESTEL factors enables an organisation to anticipate changes, threats and opportunities arising in the operating environment.
• C) Because managers ought to be aware of the current affairs issues represented by PESTEL factors.
• D) Because changes in the macroenvironment are barriers to the daily operations of the organisation. That is why they are called PESTEL factors.

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Definitions:

Time Proportioning Control

A control method where the output is turned on and off at a rate proportional to the error value, used in PID controllers, for precise control.

On Time

Refers to the condition or state of being operational or active at the expected or scheduled time.

Off Time

Represents the period when a system or component is not operating or is inactive.

PLCs

Abbreviation for Programmable Logic Controllers, specialized computers used to control industrial machines and processes.