Business is defined as the ongoing production and distribution of goods and services aimed at generating profits, influenced by external factors. The objectives of a business include profit, growth, customer satisfaction, and service to society. The business environment is complex, dynamic, and consists of internal and external elements that affect performance and can hinder or facilitate development.

1. Business
Environment

2. What is Business?
•It is a continuous production and distribution of
goods and services with the aim of earning
profits under uncertain market conditions.
•It is a form of regular activity conducted with an
objective of earning profits for the benefit of
those on whose behalf the activity is conducted.

3. Objectives of Business
• Profit
• Growth
• Customer Satisfaction
• Employee Satisfaction
• Quality products and services
• Market Leadership
• Employment creation
• Service to Society

4. What is Environment?
• Everything which surrounds a system

5. Business Environment
• Business environment consists of individuals,
institutions and other forces which are outside
the control of a business but that potentially
affect is performance.
• Anything which surrounds the business
organization that either help or hinder the
development of business

6. Characteristics of Business
Environment
• Business environment is complex in nature.
• It is constantly changing process.
• It is different for different business units.
• It has both long term and short-term impact.
• Unlimited influence of external environment factors.
• It is very uncertain.
• Inter-related components.
• It includes both internal and external environment.

7. Types of Business Environment
•Internal Environment
•External Environment