Briefly discuss the external business environment in which the business operates, put APP references, (14 marks)?

The external business environment in which a business operates refers to the factors outside of the organization that can impact its operations and success. This includes the political, economic, social, technological, legal, and environmental factors that can influence the business's ability to achieve its goals.

For example, political factors such as government policies and regulations can have a significant impact on a business's operations. Economic factors such as inflation, interest rates, and exchange rates can also affect a business's profitability and growth. Social factors such as changing consumer preferences and demographics can influence the demand for a business's products or services.

Technological factors such as advancements in technology and digitalization can create opportunities for businesses to innovate and improve their operations. Legal factors such as laws and regulations related to employment, health and safety, and intellectual property can also impact how a business operates.

Finally, environmental factors such as climate change and sustainability concerns are becoming increasingly important for businesses to consider in their operations.

Overall, the external business environment is constantly changing and businesses must be aware of these factors in order to adapt and thrive in a competitive marketplace (APP references). By understanding and responding to the external environment, businesses can position themselves for success and sustainable growth.