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Situational cues are contextual cues in the environment that signal a person that an action or event may occur. It can also be a signal that the person needs to respond in particular ways. If someone smiles, walks up to you, holds out their hand and says "hello," you know from the situational cues that you should shake their hand. You would not take your chewing gum out of your mouth and hand it to them, now would you?