External communication involves which of the following?

External communication involves which of the following?

• A. Communication between people inside the business
• B. Communication between the business and those outside such as customers, investors or the authorities
• C. Passing messages from top to bottom
• D. Using non-approved channels of communication

Answer: (B)

External communication is about sharing information with people outside the business—customers, investors, regulators, and other external stakeholders. It covers things like marketing messages, customer service to the public, investor updates, and regulatory disclosures. This is different from internal communication, which happens within the organization among staff and departments, and from top-to-bottom messaging, which is just a chain of command inside. It also relies on approved channels to ensure messages are accurate and appropriate; using unapproved channels can cause confusion or reputational risk.

External communication is about sharing information with people outside the business—customers, investors, regulators, and other external stakeholders. It covers things like marketing messages, customer service to the public, investor updates, and regulatory disclosures. This is different from internal communication, which happens within the organization among staff and departments, and from top-to-bottom messaging, which is just a chain of command inside. It also relies on approved channels to ensure messages are accurate and appropriate; using unapproved channels can cause confusion or reputational risk.