Which of the following is an example of a controllable variable?

A controllable variable is one that can be influenced or changed by decisions made within an organization. In this context, price adjustments are considered a controllable variable because a company has direct authority to set, alter, or revise its pricing strategy based on various factors such as cost of production, market competition, and overall business goals.

In contrast, market demand, consumer preferences, and economic conditions are generally considered uncontrollable variables. Market demand fluctuates based on various external factors, including consumer behavior and market trends, which the company cannot directly manage. Consumer preferences are also subject to change based on social, cultural, and individual factors beyond an organization's control. Economic conditions, such as inflation rates or recession periods, are influenced by broader economic dynamics and are not directly alterable by a single organization.

Understanding the distinction between controllable and uncontrollable variables is essential for effective decision-making in analytics and strategic planning, allowing organizations to focus their efforts on areas where they can enact change and drive results.