BUSINESS ENVIRONMENT

Introduction to Business and the Business Environment

Introduction to Business and the Business Environment

Introduction

The business is the operations that company does for the earning of the revenues and profits. Every country has its own business environment. The business environment of the company is developed by the cultures and the settings in which the company operates. The culture of the company has great impact upon its business operations. The culture is also influenced by the surroundings in which the business operates. Various research studies have shown that culture of the company is the major factor its success.

The business environment is the composition of the business and the environment. The word business shows how the company operates its business activities and the environment shows the cultures and the working environment that the company gives to its employees. The business operations of the companies involve the activities of the company such as the production, manufacturing, customer's relationship, sales, supplying etc. These all activities of the company are related to the profits and earnings of the company. The environment of the business company involves the different sets of environment that involve legal, social, political and economical environment of the company.

There are two types of business environments in which the company operates. These environments include the external environment and the internal environment. These both environments have great impact upon the business and profits of the company. In the internal environment of the company is the controllable environment. The company can control the functioning of the internal factors by devising and implementing its unique policies. The internal environment is influenced by workforce, material, money, machinery and the management. However, the external environment of the company is not under the control of the company and the company have to adopt the changes in its business operations according to the external environment. There are various factors that have impact upon the external environment. These involve the economies of the country, the foreign policies, the international business and the foreign investment. The other external factors that impact the business operations of the country involves the political situation of the country, the geographical situation of the country, and the social culture of the country in which the business company offers its products or services.

Discussion

The business environment of the company involves the chain of other businesses that are linked to the companies. These businesses are operated by the other companies but provide the significant business solution to the individual companies. The business environment of the company is affected as a whole by the suppliers, customers, competitors, intermediaries, public, the customers in the markets etc.

The suppliers are the basic supporting hands of a particular business company. A supplier of the company provides it with the necessary raw materials and the elements that are required by the company to conduct its production and business activities. The supplier is the very essential part of the business company. Therefore the companies are sensitive in choosing their suppliers because the good quality of the material has ...