The Business Environment

The Business Environment

Introduction

The term “Business Environment” depicts that it means such environment of the particular business which denotes the outside forces that affects the business decisions work efficiency. These forces can be from various business factors which include the economy, political, social and even the technological factors. Such elements are considered out of bound factors in the business. The business is only capable in doing very minor changes to these factors. In any of the business kind, the factors of success in any business are mostly reliable over copying the environmental factors. The key in improving the business segment can also be achieved by improvising the environment of the business. (Inkpen and Ramaswamya, 2005)

Describing the role of business in the economy:

Economy of a country is outcome of the business of that country. Business directly runs the economy. If there is no business then there would not be a talk of economy at all. Certainly, the economy of a country is wholly dependent upon the employment opportunities created by big and small businesses and manufacture the goods and give the services upon which an economy rely in our daily lives. The businesses also inject funds and create opportunities even to the governments by paying off taxes.

The economic role of business is also to create a large number of jobs for highly skilled employees, and for students, senior citizens and people with low levels of education and skills. It is on these companies, students can get all the necessary knowledge and experience to develop as professionals.

The main objective of a business is to develop, produce and then make it available by supplying the goods and services to the end user / customers. All this process has to be done in such a way so that companies could make a profit, which in turn requires far more than just skills in companies' own fields and processes.

Entrepreneurship; is the most productive form of business in the economy. It denotes the independence of revenue generation and opening new avenues of opportunities for fresh comers.

Compare and contrast the roles of for-profit and nonprofit organizations in the economy:

First of all it is potent to understand the concept of these two types of major players running the economy of a country or nation. Non-profit organizations which are widely known as NPO's is normally refer to the organization that uses its surplus income to complete its objectives instead of distributing them as profit or dividends (Inkpen and Ramaswamya, 2005). In NPOs they have controlling members or boards. In some cases they have paid staff including the management, while others may have employed unpaid staffs.

You would think that all business is out to make money. However that is not the case. There is such a thing as non-profit organizations. A business is an organization or economic system where goods and services are exchanged for one another or for money. The organization which is considered as a profit organization can be defined as that business or organization which has the ...