Which category includes environmental stability, technology, and outside pressures?

• A. Internal
• B. External
• C. Cultural
• D. Financial

Answer: (B)

External factors are forces that come from outside the organization and influence strategy and operations. Environmental stability describes how steady or volatile the outside world is; technology represents the broader tech landscape that the organization must adapt to; outside pressures include regulatory, market, and competitive forces that originate beyond the entity. Because these elements originate outside and require adaptation, they fit the external category. Internal factors, in contrast, are things the organization can shape from within, such as its people, structure, and internal processes.