Management

Internal and External Business Environment

Internal and External Business Environment

Business environment consist of all factors that have bearing on business. These forces are customer, creditors, competitors, government, socio-cultural organisations, national and international organisations etc. The term business environment implies those external forces, factors and institutions that are beyond the control of individual business organisations and their management and affect the business enterprise. It implies all external forces within which a business enterprise operates. Business environment influence the functioning of the business system.