Question

Beige Inc. sells very few products in the market, has a constant and stable supply of resources, and faces relatively less competition. Which of the following statements is true of the environmental uncertainty faced by Beige?

a. High environmental uncertainty
b. Low environmental uncertainty
c. Moderate environmental uncertainty
d. Environmental uncertainty is irrelevant to Beige

Answer 1

Beige Inc. experiences low environmental uncertainty due to its few products, stable resource supply, and minimum competition.

Step-by-step explanation:

The environmental uncertainty faced by Beige Inc., which sells very few products, has a stable supply of resources, and faces little competition, can be characterized as low environmental uncertainty. Environmental uncertainty is concerned with the lack of information or unpredictability in an organization's environment. Factors such as market volatility, resource scarcity, and intense competition can increase the uncertainty an organization might face. However, Beige Inc.'s circumstances suggest a controlled and predictable market situation, which leads to a lower environmental uncertainty.