What Is Macro External Environment Analysis?
Environmental Analysis usually consists of Political, Economical, Social and Technological analysis of a firm or country as a whole. Talking specifically from the business point of view, this analysis help explaining major factors such as political stability, economic viability for doing business, the social norms of a society and technological advancements which help to decide what kind of constraints a firm can face from the environment in setting and running its business. It helps to understand what is happening in an outside of a firm. It also includes customer analysis, competitor’s analysis, law, government, media, financial markets, shareholders, pressure groups, supplier and other similar factors affecting the company.
