Description Module 2, Discussion: Importance of External Factors Introduction This discussion ...
Description Module 2, Discussion: Importance of External Factors Introduction This discussion is designed to help you examine the relative importance of internal and external factors. You may come across research that favors one over the other; however, you are required to make a determination and explain the reasoning behind your answer. Instructions Respond to this 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? Discuss. Directions Select "Create Thread" to generate your post. You also need to comment on at least two of your classmates' posts/threads. Your posts will be evaluated on both the quantity and quality of your contributions, the quality being more important than the length of the post. Consider quality tips. Did you: Help solve a problem or lend support? Challenge an idea or offer some alternatives? Propose a creative solution or ask pertinent questions? Assist someone in clarifying his or her ideas or give examples from your personal experience? Contribute with sound evidence to support your opinion? Show respect or acknowledge and affirm someone else’s ideas? Bring a derailing dialogue back on track? Evaluation Criteria Here is the discussion rubric Download rubricfor this course. TO COMMENT ON: Response 1: The drop in gas prices benefited thousands of firms, but this fact alone does not completely confirm that external factors have more importance over internal factors in strategic planning. External factors such as economic conditions, government regulations, technological advancements, and competitive dynamics can all significantly impact a firm's performance. A decrease in gas prices can lower transportation and production costs for businesses that rely on logistics, directly improving profitability. On the other hand, internal factors such as a firm's operational efficiency, leadership, financial management, innovation, and company culture are all equally important. A firm with a strong internal strategy will be able to better capitalize on changing external opportunities. The drop in gas prices shows how external factors can influence the outcomes of certain businesses; however, it does not confirm that they are more important than internal factors. A firm's ability to adapt, innovate, and optimize in response to external factors will allow for long-term success, making both just as critical in strategic planning. References: Ulen, T. S. (2010). Responding to change: Internal and external factors in organizational success. Journal of Institutional Economics, 6(1), 133-137. Retrieved from https://www.cambridge.org/core/journals/journal-of-institutional-economics/article/responding-to-change-internal-and-external-factors-in-organizational-success/2CF54103855647E1EA8F9940C6B6EC23Links to an external site. Response 2: The drop in gas prices undoubtedly provided financial relief to thousands of firms, particularly those heavily reliant on transportation and energy. This scenario illustrates how external factors, such as economic conditions and commodity prices, can significantly impact a company’s operations and profitability. External forces, described in PESTEL analysis (Political, Economic, Social, Technological, Environmental, and Legal), often lie beyond a firm’s control but must be anticipated during strategic planning (Hill et al., 2021). However, while this example highlights the influence of external factors, it does not automatically confirm that they are more important than internal factors in strategic planning. Internal factors, including company culture, leadership, resources, operational efficiency, and innovation, remain critical to long-term success. An organization’s ability to adapt to external changes—like fluctuations in gas prices—depends on internal competencies and decision-making capabilities. A firm with strong financial management or diversified energy sources may capitalize more effectively on reduced gas prices than a competitor lacking such strengths. Strategic planning integrates both internal and external analyses, ensuring firms leverage their strengths while mitigating external risks (Hill et al., 2021). Ultimately, the drop in gas prices serves as a reminder of the importance of external monitoring but does not outweigh internal strategic control. Successful organizations balance both forces in their planning processes. External factors may trigger immediate opportunities or threats, but internal factors largely determine a firm’s resilience, adaptability, and competitive edge. Therefore, external and internal factors are equally important, working together to shape effective strategic planning. Reference: Hill, C. W. L., Schilling, M. A., & Jones, G. R. (2021). Strategic management: Theory: An integrated approach (13th ed.). Cengage Learning. UNFORMATTED ATTACHMENT PREVIEW MGT6207 Discussion Rubric Criteria Points One initial major response (minimum 125 words) to discussion question Points Writing – Grammar, sentence structure, paragraph structure, spelling, punctuation Points Responding to other students Points Frequency of responses Below Expectations 0 Did not complete this portion of the assignment, or most of the discussion points were either inappropriate or not identified 0 Writing contained 5 or more different errors in sentence structure, paragraph structure, spelling, and punctuation. 0 Did not respond to other students, or responses were unoriginal and lacked substance 0 Did not post to the threaded discussion Developing Competent 14 18 Discussion Discussion points were points were identified and identified and described with described with fair accuracy, but good accuracy, some discussion and appropriate points were information was inappropriate or identified and were not discussed. identified. 14 18 Writing Writing contained 3–4 contained 1–2 different errors in different errors sentence in sentence structure, structure, paragraph paragraph structure, structure, spelling, and spelling, and punctuation. punctuation. 12 18 Responded to Responded to 1 other students, other student but responses and response were unoriginal was substantive and lacked substance 10 Posted on only 1 day of the week Exemplary 20 Discussion points were identified and described with high accuracy, and all appropriate information was identified and discussed clearly. 20 Writing contained no errors in sentence structure, paragraph structure, spelling, or punctuation. 20 Responded to 2 or more other students and responses were substantive 15 Posted on 2 or more different days of the week Purchase answer to see full attachment User generated content is uploaded by users for the purposes of learning and should be used following Studypool's honor code & terms of service.
