Which company strategy typically requires consistent evaluation of external factors?

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Enhance your comprehension of management and leadership with the ASU MGT300 Exam 1 quiz. Engage with multiple choice questions, comprehensive explanations, and effective study techniques to excel in your examination!

The choice that typically requires consistent evaluation of external factors is the reactive strategy. This strategy emphasizes responding to changes in the environment rather than proactively shaping the future. Organizations employing a reactive strategy are often required to continually assess market conditions, competitor actions, economic shifts, and other external influences to adapt and implement changes in a timely manner. This ongoing evaluation is crucial because it allows the organization to identify potential threats and opportunities brought about by external factors, ensuring that they can adjust their strategies effectively.

In contrast, the stability strategy focuses on maintaining the status quo and typically involves less frequent evaluation of external factors, as the aim is to sustain current operations rather than pursue growth or change. The tactical strategy is more about implementing specific short-term actions to achieve particular objectives and may not need as consistent an evaluation of external factors. The analyzer strategy balances both stability and change, which may involve some external evaluation but not to the same extent required in a reactive strategy. Thus, a reactive strategy stands out as the approach that necessitates an ongoing and detailed study of external influences to successfully navigate an ever-changing environment.

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