Business environment consists of the totality of all forces and factors which are external to, and largely beyond the control of individual business firm. Environmental analysis is the process by which corporate planners monitor the economic, political, socio-cultural, technological, and market settings to determine the opportunities for and threats to their enterprises. In other words, environmental analysis consists of identifying and analyzing environmental influences individually and collectively to determine their potential effects on an organization and the consequent problems and opportunities. Obviously, in this context, analysis consists of tracing the source of any opportunity or threat, to break the whole into parts so as to examine its nature and interrelationship. It is from such analysis that management can make decisions on whether to react to, ignore, or try to influence, or anticipate future opportunities or threats discovered.
No comments:
Post a Comment