“…Environmental hostility refers to the extent to which the business environment poses threats to a firm's survival (Miller and Friesen, 1982). Hostility includes such challenges as intensive price, product, technological and distributional competition within the industry, dwindling markets for products, and constraints on access to necessary inputs, scarcity of labor and material resources, governmental intervention, severe regulatory restrictions, and unfavorable demographic trends (Alexandrova, 2004;Caruana et al, 2002;McGee et al, 2012;Miller and Friesen, 1983). In general, environmental hostility is an encompassing construct which includes the elements of threat and lack of control over the agents and events in a firm's external environment (Alexandrova, 2004).…”