In this ppt, I am explaining the topic of "Business Environment". This is chapter 3 in business studies book -1.

1. BHAURAV DEVRAS SARASWATI VIDYA MANDIR
SESSION -2020-21
BUSINESS STUDIES
RUPESH YADAV
12TH
“C”
29

2. FEATURES OF BUSINESS
ENVIRONMENT
• TOTAILY OF EXTERNAL FORCES.
• SPECIFIC AND GENERAL FORCES.
• INTER- RELATEDNESS.
• DYNAMIC NATURE.
• UNCERTAINITY.
• COMPLEXITY.
• RELATIVITY.

3. SIGNIFICANCE OF BUSINESS
ENVIRONMENT
• ENABLING THE IDENTIFICATION OF OPPURTINITIES
AND GETTING THE FIRST MOVE ADVANTAGE.
• HELPING IN THE IDENTIFICATION OF THREATES AND
EARLY WARNING SIGNALS.
• COPING WITH THE RAPID CHANGES.
• IMPROVING THE PERFORMANCE.
• TAPPING RESOURCES.

4. MEANING OF BUSINESS
ENVIRONMENT
Business environment is the sum total of all
external and internal factors that influence
a business. For example - A health and safety
regulation is an external factor that
influences the
internal environment of business operations

5. ELEMENTS OF BUSINESS
ENVIRONMENT
 BUSINESS ENVIRONMENT CONSISTS OF FIVE IMPORTANT DIMENSIONS INCLUDING :
 ECONOMIC ENVIROMENT.
 SOCIAL ENVIROMENT.
 TECHNOLOGICAL ENVIROMENT.
 POLITICAL ENVIROMENT.
 LEGAL ENVIROMENT

6. ECONOMIC ENVIRONMENT
 ECONOMIC ENVIRONMENT INCLUDES SUCH FACTORS AS INTEREST RATES,
INFLUCTUATION RATES, CHANGES IN DISPOSAL INCOME OF PEOPLE, STOCK,
MARKET INDEXES.

7. SOCIALENVIRONMENT
 SOCIAL ENVIRONMENT INCLUDES SOCIAL FORCES LIKE :
o TRADITIONAL,
o VALUES,
o SOCIAL TRENDS,
o SOCIETY’S EXPECTATION.

8. TECHNOLOGICAL ENVIRONMENT
 TECHNOLOGICAL ENVIRONMENT INCLUDES FORCES
RELATING TO SCIENTIFIC IMPROVEMENTS AND
INNOVATIONS WHICH PROVIDE NEW WAYS OF PRODUCING
GOODS.

9. POLITICAL
ENVIRONMENT
 POLITICAL ENVIRONMENT INCLUDES
POLITICALCONDITIONS SUCHAS GENERAL
STABILITYAND PEACE INTHE COUNTRYAND

10. LEGAL ENVIRONMENT
• LEGAL ENVIRONMENT INCLUDES VARIOUS LEGILATIONS PASSED BY
THE GOVERNMENT, ADMINISTRATION ORDERS ISSUED BY
GOVERNMENT AUTORITIES.

11. LIBERALISATION
• IT MEANS LIBERALISING THE INDIAN
BUSINESS AND INDUSTRY FROM ALL
UNNECESSARY CONTROLS AND
REACTIONS.

12. PRIVATISATION
• IT AIMED AT GIVING GREATER ROLE TO THE
PRIVATE SECTOR IN THE NATION BUILDING PROCESS
AND A REDUCED ROLE A THE PUBLIC SECTOR.

13. GLOBALISATION
• GLOBALISATION MEANS THE INTEGREATION OF THE
VARIOUS ECONOMIES OF THE WORLD LEADING
TOWARDS THE EMERGENCE OF A CONHENSIVE
GLOBAL ECONOMY.