Business Environment refers to all those factor or forces, individuals or institutions whose activities and behaviour have actual or potential impact on the ability of an organization to achieve its goals.
Environment of a business can determine the success or failure of a business . Understanding a business arena is very key in analysis of business management.
CLASSIFICATION OF BUSINESS ENVIRONMENT
An environment of a business can be classified into two Micro/Industry environment and Macro/General Environment.
Macro/General Environment: Factors that affect all industries. Examples; Government monetary and fiscal policies, demographic changes, infrastructures , technology, ecological environment, etc…
Micro/Industry environment: Factors that are unique or peculiar to particular industries. Examples are distributors, competitors, suppliers, customers, etc… for instance, distributors of cement industries are different from that of beer industries.
🗨 Comment
#️⃣ Articles
#️⃣ Business
Environment of a business can determine the success or failure of a business . Understanding a business arena is very key in analysis of business management.
CLASSIFICATION OF BUSINESS ENVIRONMENT
An environment of a business can be classified into two Micro/Industry environment and Macro/General Environment.
Macro/General Environment: Factors that affect all industries. Examples; Government monetary and fiscal policies, demographic changes, infrastructures , technology, ecological environment, etc…
Micro/Industry environment: Factors that are unique or peculiar to particular industries. Examples are distributors, competitors, suppliers, customers, etc… for instance, distributors of cement industries are different from that of beer industries.
Share Your Thoughts