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Analyzing the internal environment enables a firm to determine what it might do by identifying what opportunities and threats exist.

a. true
b. false

1 Answer

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Final answer:

Analyzing the internal environment enables a firm to identify opportunities and threats in order to determine future actions.

Step-by-step explanation:

The statement is true.

When analyzing the internal environment of a firm, it is important to identify both opportunities and threats. By understanding these factors, the firm can determine what it might do to capitalize on opportunities or mitigate threats.

For example, if a firm identifies a growing market segment as an opportunity, it might consider developing new products or services to target that segment. On the other hand, if a firm identifies a competitive threat from a rival company, it might develop strategies to differentiate itself and maintain its market position.

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