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There are three basic characteristics of changing external environments:

1) Envinronmental change is the rate at which the company's external environment changes. The rate is deemed to be stable if the rate it changes is slow and dynamic if it is fast.

2) Environment complexity touches on the number of external factors affecting the environment.In a simple environment, there are a few environmental factors as compared to a complex environment where there are many environmental factors. A complex environment often creates high degree of uncertainty for the business as they are unable to predict or foresee the future.

3) Resource scarcity is the degree to which organization's resources are scarce.

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