Political Environment is one of the chapter included in the Business Environment Subject of (2nd Semester of Masters in Business Studies) Please give us your feedback and if anyone wants the slides, email me at linkme2prem@gmail.com . Thank you.

1. Chapter 3
Political Environment

2. Aayushi Karn
“ Introduction of Political System and its
aspect”

3. Political system consists of set of formal legal institutions that constitute a
government or state.
Political system covers 4 important aspects under its area
1.) Political Ideology/ Structure
2.) Election Process
3.) Process of Government Formation
4.) Constitutes of Government
Political Environment

4. Goma Kunwar & Suman Thakuri:
“Nature and Significance of for Business

5. Political Environment
Nature and Significance for Business
1. Dynamic
2. Influence and attracts
3. Welfare State
4. Provides rules and Regulations
5. Service

6. Prem Kumar Shrestha:
“Political Structure of Nepal”
and
“Political Parties in Nepal”

7. Political Environment
Political Structure
1. Totalitarianism
2. Authoritarianism
3. Democracy

8. Political structure of Nepal
Nepal is a Federal Democratic country, According to Constitution 2072
- Article no. 56, the structure of state is as follows:
The local level comprises of VDCs, Municipalities
and district assembly whose numbers will be as
provided in federal law.
The states shall consist of Districts as mentioned in
schedule-4 in constitution of Nepal
 The Legislative
 The state
 Local level

9. Political Environment
 Powers of Federations shall be vested in the matters enumerated in schedule- 5.
 President is the head of state & Prime Minister is head of Government.
1.) President
• Vidya Devi Bhandari
2.) Vice- President
• Nanda Kishor Pun
3.) Council of Ministers
• Prime Minister – Khadga Prasad Oli
4.)Federal Legislature
• Speaker of house of Representatives – Krishna Bahadur Mahara
5.) Judiciary
• Chief Justice of Supreme Court- Om Prakash Mishra

10. Political Environment
1.) Nepal Communist Party (NCP)
NCP is the largest party of Nepal; Largest party in South Asia and 3rd largest
party in Asia
Comrade Pushpa Kamal Dahal & Comrade KP oli are the chairman of NCP
Formed in 17th May, 2018( UML and Maoist center)
Ruling party of Nepal
Political Parties of Nepal

11. Political Environment
2.) Nepali Congress (NC)
Social Democratic Political Party in Nepal
2nd largest party of Nepal founded in 1950.
Sher Bahdadur Deuba is current President of Nepali Congress.
Largest oppostion Party in House of Representatives and National Assembly.

12. Political Environment
3. Rastriya Janta Party
• 3rd largest party formed on
14th april 2017.
• Mahanta Thakur is the
Chariman
• Formed after the merger of
different political Parties
4. Federation Socialist Forum Nepal
• Democratic Socialist party
founded in 15th june, 2015
• Formed from coalition of
Madhesi Janadhikar forum
and Federal Socialist Party.
• Upendra Yadhav is
President and Alok Rai is
senior Leader.

13. Ram Shrestha :
“Government Role in Business”

14. Political Environment
Government Role in Business
A.) Regulating Role
# Laws and Regulations
# Standard
#Procedures
#Orders
B.) Service Providing Roles
C.) Promoter Role
D.) Consumer Role
E.) General Role

15. Manima Bhattarai :
“Political Stability Issues”

16. Political Environment
Political stability Issues
Political Stability helps growth , development and expansion of business.
In context of Nepal, Political instability has been prevailing for long time.
Issues created by Political instability
i. Economic Issue
ii. Safety Issue
iii. General Disagreement
iv. Change of Government
v. Foreign Intervention
vi. Disintegration

17. Aayushi Karn :
“Impact of Political Environment on Political
Structure”
AND
“ Inter Relationship among politics, Governm
ent and business
: Politics and Business “

18. Political Environment
Impact of Political Environment on Nepalese Business Structure
The common Business structure are : Sole Trading, Partnership, Joint- Stock
Company, Limited Liability Companies.
Impact of Political Environment on Nepalese Business Structure are:
i. Incorporation
ii. Rules
iii. Fees
iv. Facilities
v. Restriction
vi. Prevailing Acts
vii. Policies

19. Political Environment
Inter Relationship among politics, Government and business
1. Politics and Business
 Business activities are controlled by Government in communism political system.
 No direct control by Government but guided by general rules, principles and regulations in De
mocratic Political system.
 Equal role of Public and private sectors in Mixed Political System.
 Monarchy is neutral in this affairs but it tries to control overall activities of nation.

20. Pinky Rai :
“Inter Relationship among politics, Government
and business : Government and Business“

21. Political Environment
2. Government and Business
A.) As a Promoter
 Subsidies
 Financing
 Establishment of Public Enterprises (PE)
 Development of Infrastructure
I. As a regulator
II. As a caretaker
III. As a customer Public Enterprises of Nepal
Inter Relationship among politics,
Government and business

22. Sabita Tamang:
“Inter Relationship among politics, Government
and business : Government and Business“

23. Political Environment
Inter-Relationship among Politics, Government and Business
3.) Business and Government
a.) Obey rules and regulations.
b.) Payment of Tax
c.) Execution of Contract
d.) Provide Information

24. Political Environment
Presented By:
Name Roll No.
1. Sabita Tamang 156
2. Ram Shrestha 157
3. Prem Kumar Shrestha 158
4. Pinky Rai 159
5. Aayushi Karn 160
6. Manima Bhattrai 161
7. Goma Kunwar 152
8. Suman Thakuri 153

25. Any Questions ???
Thank You!!!