Final answer:
The planning function in a highly competitive business environment is essential for survival, crucial for setting objectives, and flexible to respond to market changes.
Step-by-step explanation:
In a highly competitive business environment, the planning function can be described as essential for survival. Planning enables businesses to set clear objectives, allocate resources effectively, and anticipate potential challenges. It allows for the development of strategies to adapt and compete in dynamic markets. By contrast, without planning, businesses may lack direction and the ability to respond swiftly to market changes, which could impede their growth and sustainability.
For instance, low-income countries attract business by reducing environmental standards, which suggests that strategic planning is utilized to compete globally. This move, while possibly detrimental to environmental quality, is a calculated decision within a broader plan designed for economic survival and growth. Planning, therefore, is not a luxury or optional in these competitive scenarios; it is critical. Nor is it a hindrance to agility. Effective planning incorporates flexibility and agility to respond to an ever-changing business landscape, making it paramount for long-term success.