Which category does NOT fall under internal factors that affect forecasts?

Prepare for the PGA Level 1 Business Planning Test. Use flashcards and multiple-choice questions with hints and explanations. Get ready to achieve your goals!

Market dynamics do not fall under internal factors that affect forecasts because they primarily relate to external elements influencing an organization's environment. Internal factors generally refer to aspects that originate within the organization and can be controlled or influenced directly by it.

Facility characteristics, financial resources, and customer services are all internal factors. Facility characteristics pertain to the operational capabilities and limitations of the organization’s physical resources. Financial resources involve the economic means available for operations, impacting how the organization can plan and execute its strategies. Customer services relate to the quality and effectiveness of the support provided to clients, affecting customer satisfaction and loyalty.

Market dynamics, on the other hand, encompass external influences such as competition, market trends, and consumer behavior, which organizations cannot directly control. Therefore, these are categorized as external factors that impact forecasting and overall business strategy.

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