Question

The external environment of business is divided into how many parts?
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Answer 1

Answer:

The External business environment is broadly classified into two categories, i.e. micro environment, and macro environment.

Answer 2

It is divided into two parts.

• Such an environment refers to external variables or the considerable influences that naturally have almost a direct impact on how a firm function. To continue its workflow, the firm must act or respond effectively.
• The two categories are the micro environment and the macro environment.
• The former has an impact on the active operations of the specific firm to which they are related, whilst the latter has an impact on the operations of all business entities operating in the economy.