The Economic factors affecting business environment Article shared by Business, now-a-days is vitally affected by the economic, social, legal, technological and political factors. These factors collectively form business environment.
PEST Analysis is useful for four main reasons: It helps you to spot business or personal opportunities, and it gives you advanced warning of significant threats. It reveals the direction of change within your business environment. This helps you shape what you're doing, so that you work with change, rather than against it.
It helps you avoid starting projects that are likely to fail, for reasons beyond your control. It can help you break free of unconscious assumptions when you enter a new country, region, or market; because it helps you develop an objective view of this new environment.
PEST Analysis looks at "big picture" factors that might influence a decision, a market, or a potential new business.
SWOT Analysis explores these factors at a business, product-line or product level. These tools complement one another and are often used together.
How to Use the Tool Follow these steps to analyze your business environment, and the opportunities and threats that it presents. Use PEST to brainstorm the changes happening around you.
Use the prompts below to guide your questioning, and tailor the questions to suit the specific needs of your business. Brainstorm opportunities arising from each of these changes. Brainstorm threats or issues that could be caused by them. Our worksheet guides you through these steps.
Brainstorm Factors Political Factors to Consider When is the country's next local, state, or national election? How could this change government or regional policy? Who are the most likely contenders for power?
What are their views on business policy, and on other policies that affect your organization? Depending on the country, how well developed are property rights and the rule of law, and how widespread are corruption and organized crime?
How are these situations likely to change, and how is this likely to affect you? Could any pending legislation or taxation changes affect your business, either positively or negatively? How will business regulation, along with any planned changes to it, affect your business? And is there a trend towards regulation or deregulation?
How does government approach corporate policy, corporate social responsibility, environmental issues, and customer protection legislation? What impact does this have, and is it likely to change?International Journal of Academic Research in Business and Social Sciences August , Vol.
3, No. 8 ISSN: Cultural factors are one of the most important factors that influence the buying decision of consumers. Cultural factors comprises of the set of values of a particular community or a group of individuals. Span of Control – Factors Affecting Span of Control in an Organization.
In attempt to answer the question that says; “Discuss five (5) factors affecting span of control in formal organization”.It will be cosmic to define our subject matter, and defining our subject matter will enable us to underscore and gain more impact and knowledge on the subject matter such as the word “factor.
Span of Control – Factors Affecting Span of Control in an Organization. In attempt to answer the question that says; “Discuss five (5) factors affecting span of control in formal organization”.It will be cosmic to define our subject matter, and defining our subject matter will enable us to underscore and gain more impact and knowledge on the subject matter such as the word “factor.
Know few external factors that Affecting entire Recruitment process and which cannot be controlled by the organization, these are supply and demand, labour market, political, social, legal Environment. An identifiable element in the physical, cultural, demographic, economic, political, regulatory, or technological environment that affects the survival, operations, and growth of an organization.