Question

what do you mean by business enviorment ? what are factors affecting for business decisions 15 marks​

Answer 1

Answer:

Business Environment signifies the collection of individuals, entities and several significant internal and external factors which control the productivity and performance of a business. An environment determines the growth, profitability and even longevity of a business and gets altered by them as well.

Explanation:

There are several important factors that influence decision making. Significant factors include past experiences, a variety of cognitive biases, an escalation of commitment and sunk outcomes, individual differences, including age and socioeconomic status, and a belief in personal relevance./////

The approach taken to making business decisions is influenced by a variety of factors, the key ones of which are outlined below:

•Business Objectives / Budgets.

•Organisational Structure - Who Makes the Decisions?

•Attitude to Risk.

•Availability & Reliability of Data.

•The External Environment.