EXTERNAL ENVIRONMENT OF AN ENTERPRISE AND ITS INFLUENCING FACTORS

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Journal LNEU: Economics of AIC 2022 №29: 17-20

EXTERNAL ENVIRONMENT OF AN ENTERPRISE AND ITS INFLUENCING FACTORS

N. Mykhaliuk, Candidate of Economic Sciences (PhD)
ORCID ID: 0000-0002-5125-7872
Lviv National Environmental University

https://doi.org/10.31734/economics2022.29.017

Annotation

The success of an organization depends not only on its perfect internal environment, but also on external factors influencing the organization. They directly or indirectly influence its activities, making it more complicated or opening new opportunities. Therefore, a comprehensive and thorough analysis of the nature of the impact of external forces on the organization is needed. It will allow to make managerial decisions that will improve the competitive position of the organization, ensure its effective functioning and development. The organization's environment is a set of certain circumstances and factors both within and around the organization that influence decision making. The organization is under a constant pressure from certain external and internal factors.

The organization's external environment is considered as a set of elements that surround it and significantly affect its activities. The macroenvironment includes factors that may not have a direct and immediate impact on the effectiveness and sustainability of the organization, but still have a certain (indirect) impact on it. Analysis of the macroenvironment should include the study of international factors, political processes in the country, legal norms, the state of the economy, the level of scientific, technical and technological development of society, social and cultural components of society and the state of the environment, etc.

Every organization is an open system that is in constant interaction with the external environment. The dynamics of the external environment, its variability, the lack of the necessary amount of reliable information make it impossible to take into account all the possible consequences of the impact on the company’s activities. Therefore, business leaders should limit the range of external factors, preferring those that have the greatest impact on results. This goal can be achieved partially by analyzing mіcroenvironment of the enterprise and the specifying its subjects that have a significant impact on it.

Key words

external environment, influencing factors, organization environment, dynamics

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