The External environment of an organization is basically its macroenvironment. This environment is largely uncontrollable by the firm. However, the firm can dilute the risk posed by this environment in order to succeed.
The external environment of an organization is made of following factors:
- Political/Legal factors
- Economic factors.
- Socio/cultural factors
- Technological Factors
- Competitors
- Demographics.
Now none of the above factors are controllable by the company.
