5 Major Environments Businesses Operate In

Question 0

Stakeholders

Answer 0

Internal and external groups affected by company’s decisions and activities

Question 1

Social environment

Answer 1

Trends and forces in society at large
Demographic changes
Stakeholders

Question 2

Technological environment

Answer 2

Forces resulting from practical application of science to innovations, products, and processes

Question 3

Disruptive Technologies

Answer 3

Technologies that fundamentally change the nature of an industry
Can be powerful enough to destroy or create entire companies
MP3 tech

Question 4

Economic environment

Answer 4

Conditions and forces that affect the cost and availability of goods, services, and labor and thereby shape the behavior of buyers and sellers

Question 5

Legal and Regulatory environment

Answer 5

Laws and regulations at local, state, national, and even international levels
Support for businesses
Businesses like lower costs, lower complexities, and greater stability and predictability

Question 6

Market environment

Answer 6

Company’s target customers, the buying influences that shape the behavior of those customers, and competitors that market similar products to those customers
Fashion could have new competitor immediately while aviation doesn’t have that problem

Question 7

5 environments

Answer 7

Social, technological, economic, legal and regulatory, market