The Three Types Of Business Environment

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Business Environment Business environment defines the internal and external factor that influence the business. Internal and the external factor is influenced by each other and work together to affect a business also. There are three types of business environment. There are three types of Business Environment Micro Environment: The internal environment Macro Environment: The external environment Meso Environment: The global environment MACRO ENVIRONMENT The macro environment is the major external and also uncontrollable factor which influences an organization decision making affects business performance and strategies. These include political, economical, social, technological changes, legal and environmental factors. Political Factor Political factors refer to the government activities or political situation of a country which may affect a business. Changing government or war is a good example of political factors. Economical Factor Economic factors refer to a country's particular economic situation that affected all the business in that country. The unemployment rate, currency exchange rates a solid example of economic factors. Social Factor Changing general society, social movement, and social relation is referred as a social factor of macro environment. Changing fashion trend, organic or healthy food habit is a good example of social factor. Technological changes The new invention of technology
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