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External environmental analysis is an important dimension for choosing appropriate business strategies to improve organizational performance in the marketplace. This study conducts an external analysis to address the economic environment, technological environment, competitors, and customers in four-star hotels in Amman, Jordan. Earlier studies have highlighted a gap in understanding regarding the role of environmental analysis in selecting or formulating appropriate business strategies. This study uses a conceptual approach based on resource dependence theory to better understand the strategies used to address business challenges. The data, collected via a survey, were analysed using the Statistical Package for Social Sciences. Creative and risk-taking management strategies should be implemented to secure resources, leading to a better competitive position in the market. This article discussions are with reference to hotels, an essential segment of the tourism industry.
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