Business Environment
Business Environment The term “environment” means the totality of all the factors which are external to and beyond the control of individual business enterprises and their managements. Andrew defines “the environment of a company as the pattern of all external influences that affects its life and development.” Environment furnishes the macro-context; the business firm is the micro unit. The environmental factors are essentially the “givens” within which firm and their management must operate. Katler Philip says, “A company’s environment consists of factors and forces that are external to the business management function of the firm and that impinge on the management’s ability to develop and maintain successful transactions with its customers.” Business cannot be separated from its surrounding environment. Everything that surrounds and affects business inevitably becomes a part of its environment: the natural surroundings, the history of these surroundings, the economic conditi...