Chapter 4- The business environment

environmental change

changes cant be measured

occurs in different waysc

great effect on business environment

environmental variables always changingtopic

technological innovations

economic fluctuations e.g exchange rates

new laws and social factors

Micro-environment

business itself

Includes vision,business functions & resoures

Under direct control of management

managers must know strenghts and weaknesses

3 sets of variables

vision ,mission and objectives

the market environment

intermediaries

consumers

competitors

suppliers

market environment also known as the task environment

macro environment

technological environment
.brings chane and innovaton

social environment
consumer lifestyles
social responsibility

institutional environment
political and legal

Subtopic