Environmental characteristics that influence uncertainty depends upon the number of factors that affect the organisation and the extent to which those factors change. In effect, when external factors change rapidly, the organisation experiences very high uncertainty.

Question

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The level of uncertainty an organization faces is indeed influenced by the number and rate of change of external factors. Rapid changes in these factors increase the complexity and unpredictability of the environment, leading to higher uncertainty.

Environmental Characteristics That Influence Uncertainty Depends Upon the Number of Factors