Introduction to Business Environments

📋 Course Outline

1. Business Environment Definition
2. Environment Classification
3. SWOT Analysis
4. Porter’s Five Forces
5. Threats and Entry Barriers
6. Buyer Supplier and Rivalry Power
7. PESTEL Macro Analysis

📖 1. Business Environment Definition

🔑 Key Concepts & Definitions

• Business environment : Comprises all internal and external forces that potentially affect an organization’s performance.

📝 Essential Points

• Internal environmental factors originate within the company, while external environmental factors originate outside the organization but affect it to a smaller or greater extent.

💡 Memory Hook

Internal forces inside; external forces outside

📖 2. Environment Classification

★ Must-know

• The internal environment includes owners, the board of directors, employees, and financial resources.

• The micro external environment consists of direct external forces, especially customers, suppliers, and competitors.

Further detail

• The macro external environment consists of broader forces such as government jurisdiction and technological advancements, over which businesses typically have no control.

💡 Memory Hook

Internal → micro external → macro external

📖 3. SWOT Analysis