External Business Environment Factors

Fill in the blank: _______ factors include interest rates, exchange rates, inflation, unemployment, and taxation.

• Economic

• Technological

• Legal

• Cultural

Which of the following is an example of a legal factor affecting business operations?

• Social media trends

• General Data Protection Regulation

• Exchange rates

• Competitor pricing

Which act is related to employee protection in the workplace?

• Companies Act

• Equality Act

• Sale and Supply of Goods Act

• Copyright, Designs and Patents Act

Which of the following is an ethical way for a business to act as an employer?

• Paying below minimum wage

• Not exploiting workforce

• Ignoring health and safety

• Avoiding fair working practices

Environmental factors are part of the external business environment.

• True

• False

Fill in the blank: _______ factors include fair trade and fair prices as examples of ethical trading.

• Ethical

• Economic

• Technological

• Environmental

Which of the following is a consequence for a business of not operating ethically?

• Improved stakeholder trust

• Legal penalties

• Increased sustainability

• Enhanced reputation

What does 'Demographic issues' refer to in the context of social factors?

• Eg the ageing population, gender balance, family size

• Eg the level of technological advancement in a society

• Eg the political stability of a country

• Eg the economic growth rate of a region

What does 'Attitudes to work' refer to in the context of social factors?

• Eg flexible working patterns, part-time working, working from home

• The use of advanced technology in the workplace

• Government regulations on business operations

• The impact of climate change on business activities

What does 'Disposable income' mean in the context of social factors?

• The amount of money that a person has to spend

• The total amount of money earned before taxes

• The money saved for retirement

• The value of a person's assets