4.2 Interpreting Environmental Factor
After scanning, managers determine what environmental events and issues mean to the organization. Typically, managers view environmental events and issues as either threats or opportunities. When managers interpret environmental events as threats, they take steps to protect the company form further harm. For example, now that Internet phone service (VoIP) has emerged as a threat, traditional phone companies have responded by spending billions to expand their fiber-optic networks so that they too can offer VoIP, as well as Internet service and TV packages just like those the cable and satellite companies offer.