What are some examples of industry factors that may influence an organization’s external context?

Industry factors influencing an organization’s external context include elements within the competitive and market environment that impact strategy, operations, and performance.

Key Industry Factors:

New Entrants: Potential competitors entering the market can disrupt established dynamics.

Competitors: Existing market players directly affect competitive positioning and market share.

Suppliers: Influence cost structures, supply chain stability, and material availability.

Customers: Drive demand and influence product or service offerings.

Why Other Options Are Incorrect:

A: Product development and branding are internal factors, not external industry factors.

B: Political involvement of competitors is an external political or regulatory factor, not an industry-specific one.

D: New technologies are external technological factors, not strictly industry-related.