Home work 5

• The assessment accounts for various economic factors which may both directly and indirectly affect the organization.  

• Some of the common factors include economic growth rates, exchange rates, inflation and international investment. 

• In the case of McDonald’s, the company actively considers profit viability when assessing potential markets thus affecting the probability of the project.

• For example, nations with growing per capita income, consumers are assumed to prefer global brands. 

• Finally, the preference of consumers also plays a critical role in the company’s expansion