This document provides an overview of business environment concepts. It defines business and outlines the scope and objectives of business, including profitability, customer satisfaction, innovation, quality products, and social responsibility. The business environment encompasses factors that affect a company's operations, both internal like value systems and objectives, and external like economic, social, cultural, innovation and technology trends. Environmental analysis is the process of identifying, assessing, auditing and profiling these environmental factors and their impact on business. Key aspects of analysis include scanning, monitoring, forecasting and assessing using models like Porter's Five Forces. Understanding the micro environment of customers, competitors and suppliers directly influences decisions, while the macro environment of economic, social and political trends shapes long-term