2. BUSINESS
Complex field of commerce and industry
in which goods and services are created
and distributed with a profit motive within
a framework of laws and regulations.
Characteristics
◦ Dealings in goods and services
◦ Production/exchange
◦ Creation of form, place and time utility
◦ Continuity in dealings
◦ Profit motive
3. BUSINESS ENVIRONMENT
Refers to a set of internal and external
factors which have a bearing on the
functioning of the firm and determines
opportunities and threats to the firms.
very important to analyze business
environment to survive and to get
success for a business in its industry
4. FEATURES
Sum total of all internal and external
factors
Dynamic in nature
Unpredictable
Differs from place to place
5. SIGNIFICANCE
Determining Opportunities and
Threats
Giving Direction for Growth
Continuous Learning
Image Building
Meeting Competition
Identifying Firm’s Strength and
Weakness
11. ENVIRONMENTAL SCANNING
Defined as the study and
interpretation of the political,
economic, social and technological
events and trends which influence a
business, an industry or even a total
market.
Factors need to be considered
◦ Events
◦ Trends
◦ Issues
◦ Expectations
12. MONITORING
describes the processes and activities
that need to take place to characterize
and monitor the quality of the
environment
Used in the preparation of
environment impact assessments
Determines the current status of the
environment
