Thursday, 19 May 2022

Discussion how “the business is the product of environment”?

Business In a general sense, the term business refers to buying and selling products in the market. But in the Modern area, business coves a wide range and complex field of industry and commerce involving activities related to both product and distribution also. The purpose of all activities is to satisfy the diverse needs of society and also generate profits for business firms or units. The term business means to organized efforts of different enterprises for supplying various products and services to the ultimate consumer for a profit reason. Businesses include many activities such as production, marketing, transport, trades, financial, distribution, consumer services, and many more. A lot of activities are connected to industries and commerce as well. All these activities have one common thing which is the motive of earning maximum profits from their services. Business wants to reach large audiences for their growth and earn great revenue. And business is also connected to the legal framework in the process of doing business. In the Morden area, the business activities are beyond the earning profits. They are also responsible for society and the purchase of business becomes wider as they focus on generating employment, solving the issues that are faced by the society, giving the best of the best product to society, focusing on the growth of the nation, providing better lifestyle, and many more. Hence the business plays a vital role in several segments of society. Environment The term environment includes all the external factors which play an important for the functioning of the business. “Environment factor or constrain tire largely if it not totally, external factor and beyond the control of the individual's industrial enterprises and management” The business environment usually offers immense opportunities for nurturing potential markets and also of exploiting the market and poses threats to the firms themselves also. The environment includes many external factors which can badly affect the business activities. Although, several factors are very important to business such as socioeconomic, technological, supplier, competitors, and government. Several factors are included in the environment. But the major six factors we will discuss below. Economic environment The economic environment includes all those factors that can impact the business. The economic environment includes agriculture, industrial products, planning, basic economic philosophy, stages of economic development, trade cycles, national income, per capital factor, savings, money, supply, price level, population, business, and many more that are present in the economic environment. Businesses usually collect according to their requirement of business and try to best way for empowering the output of business units. Politico-legal environment It breaks down into three parts which are legislative, executive, and judiciary. These three parts are usually used for shaping, directing, developing, and accurately controlling business activities. The work of three departments in the way like legislative takes all important decisions on a particular course of action, the executive will implement that decision through the government agencies, and the last step of the judiciary for ensuring the public interest of the public in all activities of legislative and executive. The political-legal environment is very important behind the success of the business. Technological environment The technological environment is playing a considerable role in influencing business. Technology implies the systematic application of scientific or other organized knowledge to particular tasks or activities. Businesses help how they can deliver the technology ineffective manager to the audiences for making their simple. In the Morden era, technology is changing fast manner and updating fast that is the reason businesses need to take close look at technology because it affects business in growth and betterment of the business. Global or international environment The global environment plays a vital role in the shaping of business activities. With the help of liberalization and globalization of the economy, the business environment of an economy is changing. It is very good for the growth of the business, but at the same time business needs to face massive competition among the business. The international environment pushes business to perform in the best possible way and motivate business to contribute to national income. Natural The natural environment also diversely influences business. Business in Modern times is also dictated by nature. Nature calamities include floods, drought, earthquakes, and many more. All of these affect the business activity badly and it impacts the growth of economics also. Socio-cultural Finally, the social and cultural environment is also influencing the business environment indirectly. These include people’s attitude to work and wealth, ethical issues, the role of family, marriage, religion, and education, and also social responsiveness of business. The social and cultural environment also influences the demand for a variety of goods and the type of employees the industry requires. Moreover, the obligation of business of society also depends on the cultural mildew in which the firm is operating. Conclusion The business is the result of economic, politico-legal, technological, socio-cultural, global, and natural factors within which it has to function. I hope this information will help you that business is the product of the environment.

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