Which of the following are two examples of economic forces within a company's general environment?

• A. Advertising strategies and brand loyalty
• B. Technological innovation and product design
• C. Company culture and employee motivation
• D. Interest rates and inflation

Answer: (D)

Verified step by step guidance

1. Understand that economic forces refer to factors in the general environment that affect a company's operations through the broader economy, such as inflation, interest rates, unemployment, and economic growth.
2. Identify that advertising strategies and brand loyalty are internal or industry-specific factors, not general economic forces.
3. Recognize that technological innovation and product design are technological and product development factors, not economic forces.
4. Note that company culture and employee motivation are internal organizational factors, not part of the general economic environment.
5. Conclude that interest rates and inflation are classic examples of economic forces because they influence the cost of capital, consumer purchasing power, and overall economic conditions affecting the company.