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Micro , Macro Business Environment

In: Business and Management

Submitted By venu18mba
Words 686
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A – Micro business Environment:

This is also known as internal business environment because business has power to control them. In this environment, factors can be divided with following way.

1st Supplier

A supplier provides raw material to business. This is also main factor of business environment because, it affects business very closely. If supplier delay to supply raw material or stop to supply. At this time production of business can be stopped due to not getting raw material. So, for controlling this factor, it is the duty of businessman to make good relation with more than one supplier so that, if one stop or delay at this time, goods can be purchased from other supplier.

2nd Customers

Customers are those people or companies which buy goods from our business. Business sells them his finished product. But time to time tastes of customers also change. So, according to the taste of business customers, new products must be supplied by business. That is the formula for living long life of business.

3rd Market Intermediaries

For promoting sale, it is required to ads by different way, so market intermediaries include sales man and middle man.
This environment is under control of business because, if business starts selling with more ads, his selling will surely increase.

4thCompetitors
Competitors of business also create internal business environment. According to competitors, policies, business changes his policies for winning in competition.

5thFinancial-Intermediaries

As business grows, it needs more money for his growth; either this money can be gotten by issuing new shares or by borrowing money from financial intermediaries. So, financial intermediaries plays a vital role in business environment. If they provides loan at very low rate, at that time business can get and grow fastly but, if they increase in interest rate, at that…...

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