Chapter 4- The business environment

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Chapter 4- The business environment

macro environment

Subtopic

institutional environment political and legal

social environment consumer lifestyles social responsibility

technological environment .brings chane and innovaton

the market environment

market environment also known as the task environment

suppliers

competitors

consumers

intermediaries

Micro-environment

vision ,mission and objectives

3 sets of variables

managers must know strenghts and weaknesses

Under direct control of management

Includes vision,business functions & resoures

business itself

environmental change

changes cant be measured

occurs in different waysc

environmental variables always changingtopic

technological innovations

economic fluctuations e.g exchange rates

new laws and social factors

great effect on business environment