Lecture notes Business Management (Cbma) Introduction to Business Management

CHAPTER 4: THE BUSINESS ENVIRONMENT

•Introduction
•The business and environmental change
•The composition of the business environment
•The micro-environment
•The market environment
•The macro-environment
•Opportunities and threats in the market environment and the macro-environment
•Environmental scanning
•Summary

,Chapter content
• Introduction
• The business and environmental change
• The composition of the business environment
• The micro-environment
• The market environment
• The macro-environment
• Opportunities and threats in the market
environment and the macro-environment
• Environmental scanning
• Summary

,Introduction
• Business organisations are not self-sufficient
or autonomous
• Obtain resources from society and the
society obtains products from businesses.
• Mutual dependency increases in complexity
when variables in environment change
• Innovation or political developments bring
about change that impacts in different ways

, The business and environmental
change
• Change is the only constant reality of our
time
• Environmental variables such as economic
fluctuations & social factors are constantly
changing the environment in which
businesses operate