Business Environment

Business Environment...
                      

Business environment includes all the external factors and forces which have a certain degree of impact on the business actions and strategies of the firm.Success of every business is depend on its environment.Business are expected to identify, appraise and respond to all the threads and opportunities in their environment.To get success and survive a business must constantly monitor its environment and adapt to it.

Dimensions of Business Environment..

1) Economic environment-It consists of gross domestic product, income at National level ,per capita income ,profit earning rate ,monetary policy ,fiscal policy etc.
           

Business environment

2) Social Environment-It consists of the customs and traditions of the society in which business is existing.It includes taste, preferences, standard of living etc

3) Political Environment-It consists of all the factors of the Government affairs such as type of Government affairs such as type of Government,power,tax system, subsidies etc

4) Legal Environment-It consists of Laws and legislation passed in the parliament like Trade Mark Act ,Essential Commodity Act,Weights and Measures Act etc.

5) Technological Environment-It refers to change taking place in the method of production, use of equipments and the quality of product.