Organizations do not exist in isolation. They interact with, and are affected by$,$ many different factors. When analyzing the climate in organization operates, it is helpful to understand how a particular element fits into the big picture.

The external environment consists of everything affecting an organization from the outside, which includes the general environment affecting the overall context for conducting business$)$ and the task environment $($factors of specific interest to an organization$).$

An organization's internal environment relates to conditions, events, and factors affecting the organization from within.

For each example in the following table, choose whether it belongs in the general, task, or internal environment.

Example

Environment

Increased regulation of banks and mortgage lenders regarding the loans they issue

Auditors from the Internal Revenue Service $($IRS$)$ sent to review a company's tax records

A company adopting an open$-$plan design for the workstations in its new office

A worldwide recession

Employees' ability to choose among several types and styles of desk chairs