Define external communication.

External communication refers to the interaction that occurs between an organization and its stakeholders outside of the organization. This includes communication with customers, suppliers, investors, the media, the community, and any other entities that the organization engages with beyond its internal boundaries. Effective external communication is essential for building relationships, establishing a brand, disseminating information, and managing the organization's public image.

Understanding this concept highlights the importance of maintaining transparency and fostering trust with external parties. For instance, organizations often use press releases, social media, newsletters aimed at external audiences, and reports to share important information and updates. Such interactions can significantly influence public perception and can be instrumental in driving business success, particularly in large organizations where stakeholder opinions can change frequently.

The other options focus on internal communication dynamics, which, while crucial for operational success, do not capture the essence of how an organization interacts with the outside world. Internal communication is more about enhancing teamwork and collaboration among employees and project teams, rather than the broader engagement with external stakeholders.