The economic environment
a.of an individual country has little effect on other countries.
b. refers to the application of science to convert resources to output.
c. includes changes in interest rates and inflation.
has little impact on an organization's marketing strategy.
d. does not change rapidly.
I'll be glad to check your answer.
The correct answer is c. The economic environment includes changes in interest rates and inflation.
To arrive at this answer, let's analyze each option:
a. The option states that the economic environment of an individual country has little effect on other countries. This is not entirely true. In today's interconnected global economy, the economic conditions of one country can have a significant impact on other countries through trade, investment, and financial channels. So, this option is incorrect.
b. The option states that the economic environment refers to the application of science to convert resources to output. This is not an accurate definition of the economic environment. The economic environment encompasses various factors, such as market conditions, government policies, consumer behavior, and economic indicators, which influence business activities. Therefore, this option is incorrect.
c. The option states that the economic environment includes changes in interest rates and inflation. This is the correct choice. The economic environment consists of factors that affect the overall economic conditions, including interest rates (which influence borrowing costs and investment decisions) and inflation (which impacts purchasing power and consumer behavior). These factors can significantly impact businesses and their marketing strategies.
d. The option states that the economic environment does not change rapidly. This is not entirely true. Economic conditions can change rapidly due to various factors, such as political developments, technological advancements, market dynamics, and global events. Therefore, this option is incorrect.
In conclusion, option c is the correct answer as it accurately reflects that the economic environment includes changes in interest rates and inflation, which are crucial factors influencing businesses and their marketing strategies.