Which of the Following Statements Is True About the General

question 43

Multiple Choice

Which of the following statements is true about the general environment?

• A) This part of the external environment is smaller than the task environment.
• B) The task and internal environments of a firm are independent of its general environment.
• C) It excludes the broad trends of the environment affecting law,government,and politics.
• D) It always needs to be considered in terms of its social supports and institutional supports.

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Definitions:

Price Ceiling

A government-imposed limit on how high a price can be charged for a product, intended to protect consumers from high prices.

Price Floor

A government- or authority-imposed minimum price that can be charged for a good or service, often above the equilibrium price.

Quantity Control

Regulatory or business practices that limit the production, sale, or distribution of products to influence market prices or quality.

Quota Rent

The earnings that accrue to the license-holder from owning the right to import a limited quantity of goods under a quota system.