ST. RAPHAEL’S H. S.

SCHOOL

Business studies Art integration project

2021-22

Submitted by- : Khushi gupta

Class and sec – :12 ‘ c ’ scholar no.- :522572

Submitted to -: mrs . Sonal chourey ma’am

 BUSINESS ENVIRONMENT
Business Environment is sum or collection of all internal and external factors.

BUSINESS
ENVIRON
MENT

EXTERNA
INTERNAL
L
FACTORS
FACTORS
* Dimensions of business environment

LEGAL ENVIRONMENT

POLITICAL ENVIRONMENT

ECONOMIC ENVIROMENT

SOCIAL ENVIRONMENT TECHNOLOGICAL ENVIRONMENT

IMPACT OF BUSINESS ENVIRONMENT
On
LEGAL DIMENSION

The business legal of any businesses around the globe.

environment plays a very important role in determining the
success
The government taxes that are being imposed among other
regulatory measures help to promote economic growth
 To protect consumers from exploitation and other illegal
factors.
It is imperative for management of every enterprise to obey
law of the land .
Impact of business
environment on
social dimension

The social environment of a business can be integral to its success or failure. 

An increase in demand during festive season provide opportunities for various
business.
In businesses with a positive social environment where employees get along
and are generally positive in their relationship to one another, cooperation and
teamwork are more likely to exist than in a negative social environment.
 Negative social environments will generally foster dissent and strife among
workers and destroy the ability or willingness of employees to work together.
Impact of business
environment on

economic dimension

 Interest rates , inflation rates ,changes in disposable income of people, stock market
indices and the value of rupee are some of the economic factors that can affect
management practices.
 The income of customers indicates their ability to spend on the products sold by the
marketer. 
 An economy should try to achieve low rate of inflation. The best way to achieve a low
rate of inflation is to ensure that products and services are produced efficiently.
Impact of business
environment on
technological dimension

 The technological environment comprises innovations which foster

updated techniques ,render services , produces goods and new
approaches .
 A company needs to comprehend various levels of scientific
achievements of economy before achieving a product.
 Technological compactablity of product also propels the demand for
manufactured product of a company.
Impact of business
environment on
political dimension

 The political environment can impact business organizations in many ways. It could add a risk factor and lead
to a major loss.
 The political factors have the power to change results. It can also affect government policies at local to federal
level. Companies should be ready to deal with the local and international outcomes of politics.
 Changes in the government policy make up the political factors. The change can be economic, legal or social. It
could also be a mix of these factors.
 Increase or decrease in tax could be an example of a political element. The decision will have a direct effect on
your businesses. So, you must always stay up-to-date with such political factors.
 Government interventions like shifts in interest rate can have an effect on the demand patterns of company.
 impact of business
environment

The economic environment in India consists of various macro-level factors

related to the means of production and distribution of wealth which have an
impact on business and industry. These include:
(a) Stage of economic development of the country.
(b) The economic structure in the form of mixed economy which recognises
the role of both public and private sectors.
(c) Economic policies of the Government, including industrial, monetary and
fiscal policies.
(d) Economic planning, including five year plans, annual budgets, and so
on.
(e) Economic indices, like national income, distribution of income, rate and
growth of GNP, per capita income, disposal personal income, rate of savings
and investments, value of exports and imports, balance of payments, and so
on.
(f) Infrastructural factors, such as, financial institutions, banks, modes of
transportation communication facilities,