Question

• The drop in gas prices benefitted thousands of firms. Does this fact confirm that “external factors are more important than internal factors” in strategic planning? .

Answer 1

On cannot imagine the internal factors without considering the external factors or vice versa. External factors are the combination the phases for what an organization should deal with, on the other hand, internal factor decides the extent to which How well an organization is able to perform under these situations. In case the company in a bad situation due to too external factors then proper strategic planning can help an organization to evolve to varying market situations and continue to grow.

Internal factors mainly decide what alternative an organization has for adapting to changing situations. Therefore, external and internal factors are equally important and are intertwined. That is why we can decide which one is more important. external factors suggest which possible ways is more effective and suitable to become successful in business.

In brief, both eternal and internal factor are fully informant for strategic planning because they are intertwined and one can't imagine internal factors without considering external factors in business.