What is a business environment?

The first 200 words of this essay...

WHAT IS A BUSINESS ENVIRONMENT?

Business environments are factors of influences that affect the business, but the firm may have limited control over. The internal environment, business have control over and can overcome their weaknesses by their strengths. Looking at the external environment it can have an impact on businesses: any changes to the external environment can generate new opportunities as well as making business failure.

PEST

A PEST analysis is a method used by businesses such as Canary Wharf to analyse the external environment.

Economical

Every business such as Canary Wharf is subject to economical forces. These forces could affect the profitability of Canary Wharf. These forces could also bring unique opportunities to the business. These are the following economical factors which

affect Canary Wharf.

Interest rates

This is an important factor which affects Canary Wharf as interest is the price paid by individuals or businesses to borrow money. At this current moment in time interest rate have increased by 0.25%, which means the cost of borrowing money is more expensive. Canary Wharf has been affected by this on the expansion of the business. Since