Multiple choice

All of the following are political factors in a business environment, except

  1. tax policy

  2. employment laws

  3. environment regulations

  4. exchange rate

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Exchange rate is not a political factor in a business environment. Political factors include tax policy, employment laws, environmental regulations, trade restrictions and tariffs, political stability, etc. Exchange factors include current and projected economic growth, inflation and interest rates, exchange rates, stage of business cycle, unemployment and labour supply, etc.