BUSINESS ADMINISTRATION
BUSINESS ENVIRONMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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factors that directly impact the organisation
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factors that influence the operations of the business
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factors that influence the wider environment in which the business operates
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Detailed explanation-1: -The internal environment of business refers to all the factors or forces that have a more direct impact on the daily activities of the company. The main factors in the internal environment are: customers, suppliers, competitors, shareholders, financial institutions, and employees.
Detailed explanation-2: -Some examples of areas which are typically considered internal factors are: Financial resources like funding, investment opportunities and sources of income. Physical resources like company’s location, equipment, and facilities. Human resources like employees, target audiences, and volunteers.
Detailed explanation-3: -An organization’s internal environment is composed of the elements within the organization, including current employees, management, and especially corporate culture, which defines employee behavior. Although some elements affect the organization as a whole, others affect only the manager.