BUSINESS ENVIRONMENT

KRIZZAH FRANCES ELLEN M. LIZADA 11-TABOR

SUBMITTED TO:

SIR EDWARD LOUIS C. GAPOY

SEPTEMBER 20 2019
 BUSINESS ENVIRONMENT

Business Environment means all of the internal and external factors that affect how the
company functions including employees, customer, management, supply and demand and
business regulation

Trade refers to the exchange of goods and services for money, which can be undertaken
within the geographical limits of the countries or beyond the boundaries. The trade which takes
place within the geographical boundaries of the country is called domestic or local business,
whereas trade which occurs between two countries internationally, is called international
business.

Entities engaged in international business often face more difficulties than the entities
which conduct domestic or local business. Although international business enjoy large customer
base as they operate in multiple countries.
 A business is said to be local or domestic, is a business whose economic transaction is
conducted within the geographical limits of the country. International Business which is not
restricted to a single country. A business which is engaged in the economic transaction with
several countries.

The area of operation of the local business is limited, which is the home country. On the
other hand, the area of operation of an international business is vast means it serve not only one
country but many countries at the same time. So if you belong in the local environment your
business have specific area.

The quality standards of products and services provided by a local business is relatively
low. Conversely, the quality standards of international business are very high which are set
according to global standards. Local business requires comparatively less capital investment as
compared to international.

Local or domestic Environment are both satisfying the basic needs of the consumer, it
involves to find out what the customer’s wants and how to meet their needs and research and
development, it is necessary in both by research new facts are found and in the light of these
facts products are improved.

International business environment is good but the risk factor is high because
Communication and control of international business is difficult specially the demand of the
international market.

I conclude that carrying out the activities of international business and its management is
far more difficult than conducting a domestic business. Due to changes in political and economic
across the nations, most business entities find it difficult to expand their business globally. To
become successful in the international market firm need to plan their business strategies as per
requirement of the market.
 REFERENCES

What is business
What environment
is (n.d) Retrieved from
business environment (n.d) Retrieved
http://www.businessdictionary.com/definition/businessenvironment.html?fbclid=IwAR3x8Hnze
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