Macro Environment Flashcards
Characteristics
Refers to challenges and influences that present themselves outside of a business
Elements
Physical/natural environment Economic Social, cultural and demographic Technological Legal and political International/global Institutional
What is exchange rates
The price we pay for foreign currency
What are interest rates
The cost of borrowed money
What are inflation rates
Causes prices of goods and services to increase without an improvement in quality
What is labor action by employees
Labor action takes place when employees refuse to do their work
What is dumping
Takes place when foreign countries dump their excess goods on the local market to dominate the local market
Technological is the result of…
The application of science
Different kinds of tech
Recycling tech
Info and communication tech
Medical tech
Advantages of tech
Creates business operations
Increases the rate at which business takes place
Forces businesses to constantly improve their goods
Additions that have been made to infrastructure in SA
Highways have been upgraded
Several stadiums were built
The gautrain
What does legal refer to
Give three examples
Refers to all rules, policies and legislation a business must adhere to
For example:
- registration procedures
- contracts with employees
- lease contracts
International refers to….
Refers to trade, communication or other activities that take place Among two or more nations
What connects businesses and consumers world wide
Tech
What influences local business operations
International events
