Briefly describe environmental complexity and its component factors.

Environmental complexity refers to the magnitude of the problems and opportunities in the organization's environment, as evidenced by three main factors: the degree of richness, the degree of interdependence, and the degree of uncertainty stemming from both the general and the specific environments. The component factors of environmental complexity are described as follows: Environmental richness refers to the extent to which the economy is growing, individuals are improving their education, and those on whom the organization relies are prospering. Environmental interdependence reflects the firm's connection to external individuals, groups, and organizations. Degree of uncertainty reflects the uncertainty and volatility associated with the general and specific environments in which the firm operates.