Paper 1 · November 2018 · external environment
Which of the following is an external environmental factor affecting a business enterprise?
AThe leadership style used by the enterprise's managers
BThe training programme the enterprise runs for its staff
CThe government's tax policy on business profits
DThe layout chosen for the enterprise's own factory
Explanation
The external environment is made up of forces outside the enterprise that it cannot control, and tax policy is set by government. Factory layout, leadership style and staff training are all decided inside the enterprise, which makes them internal factors.
Derived from ZIMSEC Business Enterprise Skills Paper 1, Nov 2018, Q1