Factors that Affect the Economic Environment: (1) Economic Systems: a. Capitalism: A capitalist economy is an economy where the laws of demand and supply operate freely. The availability of physical facilities limits the scope and prospects of business. Business environment includes both specific and general forces. Environmental Factors Affecting Business By Jack Onyisi Abebe Introduction Environmental factors can have an impact on project management even in environments that are relatively stable. The country who has favorable natural resources develops its economy faster. United States of America and Canada are examples of it. Economic Environment Socio-cultural factors Entrepreneurship Support Systems ... (that affect the survival and profitability of the new business) ... entrepreneurship is seen as a zero-risk game but you'll be surprised to find out the reality behind starting an online business. Different climates are required for the production of different commodities. Demographic factors are an uncontrollable factor in the business environment and extremely important to managers. This thesis investigates factors affecting strategy implementation process. The internal factors that affect a business are such factors as employees, competitors, customers, suppliers and the culture of the organization.These are factors which business can control. Demography is the study of people’s vital statistics, such as their age, gender, race and ethnicity, and location. In the 1990s, adherents of Francis Fukuyama came to believe in the “end of history.” The COVID-19 pandemic and a host of other factors—such as climate change, cyberattacks, and terrorism—have … Business leaders need to think through the implications. To summarize what has been said, environmental factors that affect business refer to the physical environment on Earth, including everything from climate and weather to the availability of resources. These factors have a notable influence on business prospects. The business environment usually offers immense opportunities for exploiting potential market and also poses threats to the firm itself. Physical factors mean and include geographical factors like weather, climatic conditions etc. Related: 14 Factors Affecting Economic Environment of business. The survival and success of each and every business enterprise depend fully on its economic environment. Technology refers to the knowledge of how to do things. Demographic Factors. Physical and Technological Environment. The external factors affecting a business comprise of such factors as technology, government, and its policies, economic forces and elements, socio-cultural factors, and international factors. This category is also sometimes quite appropriately named ‘ecological’. Entrepreneurship is critical to nation development and so entrepreneurs will also need the right environment, resources and people to grow their businesses. 6. Companies need to keep a track of relevant economic indicators and monitor them over time. These critical success factors (CSF) affecting Nigeria business environment are also the same problems confronting any prospective business man or woman from the global arena. External Factors Affecting Business Environment Economic Forces The economic environment can have a major impact on businesses by affecting patterns of demand and supply. Income Income indicates a customer's ability to spend on the products sold by the marketer. Climate. Geopolitics is back. On this aspect, William F. Glueck and Lawrence R. Jauch observed, “The environment includes factors outside the firm which can lead to opportunities for or threats to the firm. 2. 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