WHEN THE BUSINESS ENVIROnMENT IS STABLE ,THAT MEANS ECONOMY IS HEALTHY AND THE BUSINESS CAN BE PROFITABLE.

1. STABLE
ENVIRONMENT/DYNAMIC
ENVIRONMENT
SANDEEP AZARI
ROLL NO:161403
Pgdmtopics.blogspot.in

2. WHAT IS BUSINESS ?
ANY ORGANISATION OR ECONOMIC SYSTEM WHERE GOODS AND
SERVICES ARE EXCHANGED FOR ONE ANOTHER OR FOR MONEY IS
KNOWN AS BUSINESS
THE MAIN MOTIVE OF BUSINESS IS PROFIT EARNING

3. BUSINESS ENVIRONMENT
The combination of internal and external factors that
influence a company’s operating situation
The business environment can include factors such as:
clients and suppliers; its competition and owners;
improvements in technology; laws and government
activities; and social and economic trends

5. STABLE ENVIRONMENT
WHEN THE BUSINESS ENVIROnMENT IS STABLE ,THAT MEANS ECONOMY IS HEALTHY AND THE BUSINESS
CAN BE PROFITABLE.
FACTORS EFFECTING STABILITY
TECHNOLOGICAL INNOVATION
CHANGES IN THE CAST PLAYERS
CHANGES IN GOVERNMENT REGULATIONS
CHANGE IN CUSTOMER NEEDS

6. 1. TECHNOLOGICAL INNOVATION
When there is a high rate of technological innovation (software and
other I.T products and components),New developments constantly upset
the status quo and change the nature of competitive advantage as well
as determine who can keep it
2. CHANGE IN CAST PLAYERS
In industries where rivals regularly exists or enter the competition,
competitive advantage is likely to be rapidly re-define and market
leadership changes rapidly. This condition often occurs in very young
industries are very old industries- both good candidates for market
shakeouts

7. 3. CHANGES IN GOVERNMENT REGULATIONS
As government regulation (like TRAI for fixing the telecom charges and
licenses, SEBI for stock market and FII portfolio investments, RBI credit
policy for interest rates for housing, Business ,personal loans and so on) can be
an important factor effecting a competitive advantage changes in this arena
can obviously alter competitive standing
4.CHANGES IN CUSTOMER NEEDS
As customers changes, so do their needs and there so does the nature of
competitive advantage. When customers placed more emphasis on the cost of
getting an item delivered, the government – owned speed post had a
competitive advantage over privately owned courier and parcel services

8. DYNAMIC ENVIRONMENT
A successful marketing campaign increases a company's profits and
helps it reach its strategic goals. However, there are challenges to
marketing because the business environment is constantly changing.
Customer preferences and attitudes keep evolving and require
managers to adapt rapidly.
Another challenge involves reaching different target markets with
culturally relevant propositions.

9. 1.Societal Change
Demographic, social and cultural changes are altering the competitive landscape. The aging
population means there will be an expansion in the health care sector. The rising new
generation has fundamentally different tastes and reshapes the economy. For example, new
industries such as computer gaming were formed to satisfy their distinct needs.
2.Technological Change
The pace of technological change is high, and presents both opportunities and threats. As a
case in point, rapid expansion of information and communications technology has given rise
to e-commerce. Businesses can source and sell to a global market, but this also means that
their markets are constantly under threat from foreign companies.
3.Economic and Political Challenges
In the interconnected world economy, companies are affected by economic and political
challenges from abroad. Political upheavals, recession and natural disasters thousands of
miles away affect business outlook, stock market indexes, and prices of important
commodities such as oil.

10. THANK YOU