forces and events outside a compnay that have the potenital to influence or affect it
the rate a which a company's general and specific environments change
the rate of environmental change is slow
the rate of environemntal change is faast.
ex: blackberry compared to iphone
punctuated equilibrium theory
companies go through long periods of stability (equilibrium) during which incremental chnages occur, followed by short, complex periods of dynamic, fundamnetal chnage (revolutionary periods), finishing with a return of stability ( new eqilibrium)
refers to the number and the intensity of external factors in the environment that effect orgaizations