ORGMNGT (4th Quarter) Flashcards
- factors that affect a business enterprise from outside.
- includes shareholders, competitors, customers, society, government laws and regulations, policies and technology
EXTERNAL ENVIRONMENT
- The condition that exist in the economy as a whole, rather than in a particular sector or region.
- In general, the macro environment includes trends in the gross domestic product (GDP, inflation, employment, spending, and monetary and fiscal policy.
MACRO-ENVIRONMENT
- includes those players whose decisions and actions have a direct impact on the company.
- Production and selling of commodities are the two important aspects of modern business.
MICRO-ENVIRONMENT
The factors in internal environment of business are to a certain extent controllable because the firm can change or modify these factors to improve its efficiency.
INTERNAL ENVIRONMENT
These are the advantages of your company over the other.
Strengths
These are chances for development, advances or expansions.
Opportunities
These are the limited resources available in your company.
Weaknesses
These are circumstances or situation which you cannot control.
Threats
2 Types of Business Environment
External and Internal Environmental
wot is SWOT?
Strengths, Weaknesses, Opportunities, and Threats
One popular method of environmental scanning is
SWOT analysis
is an entity or enterprise that provides goods and services in exchange for some form of money or another.
Business
-business which provides intangible products. Service type firms offer professional skills, expertise, advice, and other similar products.
SERVICE BUSINESS Business
-business which buys products at wholesale price and sells the same at retail price. They are known as “buy and sell” businesses. They make profit by selling the products at prices higher than their purchase costs
MERCHANDISING Business
-combines raw materials, labor, and factory overhead in its production process. The
manufactured goods will then be sold to customers.
MANUFACTURING
BUSINESS
