Understanding the Business Environment and CSR

Internal Environment

Factors within the organization that affect business operations.

Controllable Factors

Factors within the internal environment that can be managed or influenced by the organization.

Company Policies and Culture

Guidelines and shared values that shape the behavior and practices within an organization.

Organizational Structure

The system that outlines how certain activities are directed in order to achieve the goals of an organization.

Management and Employees

The individuals responsible for making decisions and those who carry out the tasks within the organization.

Physical and Financial Resources

Tangible and monetary assets available to an organization for its operations.

Innovation and Research Capabilities

The ability of an organization to develop new ideas and improve products or services.

External Environment

Factors outside the organization that impact decisions and performance.

Micro Environment

The immediate surroundings of a business that directly influence its activities and performance.

Customers

Key stakeholders that drive demand and revenue for a business.

Suppliers

Entities that provide raw materials and inputs necessary for production.

Competitors

Other businesses that affect pricing, marketing, and strategy within the same market.

Intermediaries

Dealers, agents, and wholesalers that facilitate the distribution of products.

Public and Media

Entities that can influence a company's brand image and reputation.

Employees and Management

The workforce and leadership that determine the internal strength of an organization.

Shareholders

Individuals or entities that own shares in a company and expect profitability and growth.

Macro Environment

Broad external forces that shape business operations and require adaptation.

Political Environment

Government policies, political stability, and taxation rules that influence business laws and operations.

Economic Environment

Economic conditions such as inflation, GDP, and interest rates that affect customer purchasing power.

Socio-Cultural Environment

Demographics, lifestyle, education, traditions, and values that impact consumer preferences.

Technological Environment

Innovations and advancements that create new opportunities and require adaptation.

Legal Environment

Laws related to business operations, including labor laws, tax laws, and consumer protection.

Corporate Social Responsibility (CSR)

A company's voluntary commitment to act in an ethical and socially responsible way.

CSR Activities

Actions taken by a company to fulfill its social responsibility, such as environmental protection and supporting social causes.