Chapter 6

External Influences on Business Activity

How the economy, laws, technology and the environment affect a business — with an interactive exercise.

External Influences on Business Activity are factors outside the firm's control.

These include the state of the economy, laws and regulations, technology, and environmental concerns. Businesses must adapt to these to survive and succeed.

Remember

  • External factors: economy, laws, technology, environment.
  • Businesses can't control them but must respond to them.

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