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Unit I                                                                                                        
An Overview of Business Environment: Type of Environment-internal, external, micro and macro environment. Competitive structure of industries, environmental analysis and strategic management. Managing diversity. Scope of business, characteristics of business. Objectives and the uses of study. Process and limitations of the environmental analysis.    

Unit II                                                                                              
Economic Environment: Nature of Economic Environment. Economic factors-growth strategy, basic economic system, economic planning, nature and structure of the economy. Economic policies-industrial policy (1991), FEMA, Monetary and fiscal policies.    

Unit III                                                                                                        
Socio-Cultural Environment: Nature and impact of culture on business, culture and globalization, social responsibilities of business. Business and society, social audit, business ethics and corporate governance. Political Environment: Functions of state, economic roles of government, government and legal environment. The constitutional environment, rationale and extent of state intervention.  

Unit IV                                                                                                  
Natural and Technological Environment: Innovation, technological leadership and followership, sources of technological dynamics, impact of technology on globalization, transfer of technology, time lags in technology introduction, status of technology in India. Management of technology, features and impact of technology. Demographic environment population size, migration and ethnic aspects, birth rate, death rate and age structure.