2. BUSINESS ENVIRONMENT
Environment refers to the surroundings or
milieu in which a person or organization
operates . Business environment means the
political , social, economic, technological and
cultural forces outside a business firm with
which the entity deals.
4. EXTERNAL ENVIRONMENT
The components in the external environment are
broad in scope and are uncontrollable by the
management of the organization.
It include social factors, political factors ,legal
factors, technological factors and economic factors.
while economic factors constitute the economic
environment, the other factors are clubbed together
under the head non-economic environment.
5. OPERATING ENVIRONMENT
The operating environment , though
they are external to the organization, will
directing interact and influence the
organization.
These components include-
Customers, suppliers, competitors,
Employees, Government, creditors and
owners.
6. INTERNAL ENVIRONMENT
The internal environment consists of
functional areas of an enterprise.
These includes- production , personnel,
finance and marketing.