Features of Business Environment
Relationship between Business and Environment
A business entrepreneur must know various critical, complex and changing factors of environment business. Every business entorprise can flourilsh in dynamic environment, within which it has to operate. The environment expects from every business enterprise the satisfaction of needs.Whatever resources are available to business from its environment, it returns them by transformation of utilities created by it.
The study of business environment provides full knowledge about the internal environment such as business policy, organisational structure, its resources etc.It also provides knowledge about business problems and its complexities. The different forms of economic system influences the business in different ways. For facing the challanges and problems of the business, a proper evaluation and study of the business environment is necessary.
Features of Business Environment
On the basis of above discussion features of business environment can be summarized as follows:
• Business environment is the sum total of all factors external to the business firm and that greatly
• influence functioning of the business of the firm.
• It covers factors and forces like customers, suppliers, competitors, government and the social,
• cultural, political, technological and legal conditions.
• The business environment is dynamic in nature that means it keeps on changing.
• The changes in business environment are not predictable and it is very difficult to assume the exact
• nature of future happenings and the changes in economic and social environment.
• Business Environment differs from place to place, region to region and country to country.
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