what constitutes the general environment of business Related: Introdu...
General Environment
Weather changes, trade laws, and new competitors have increased the cost of JD Clothing's production process and decreased their sales. Worried that all this change might spell out their demise, JD Clothing quickly calls in Environment Gal (E.G.), a consulting pro, to help them understand what's happening to their once successful business.
E.G. swoops in and readily explains that the changes occurring outside the organization through trade laws, weather, technology and various other factors are known as the external business environment, which is typically broken down into two categories.
A. The general environment, which includes an array of external influences, such as the environment, technology, economic conditions, demographics, sociocultural forces, political or legal factors.
B. The task environment, which consists of a company's ability to acquire necessary materials, such as products for making the clothing, or revenue from sales and their ability to deliver outputs as exporting goods.