BESM chapter 2: political environment
Political Environment Definition: Political environment refers to the political system, government policies, laws, regulations, political institutions, and political activities that influence the operations and decisions of businesses and other organizations within a country. It determines the extent to which the government intervenes in economic and business activities and creates opportunities as well as challenges for organizations. According to William F. Glueck , the political environment consists of government actions, political conditions, and legal frameworks that affect business operations and decision-making. Explanation The political environment includes: Government structure and stability Political ideology and policies Laws and regulations Taxation policies Labor laws Trade and investment policies Political parties and pressure groups International political relations A stable political environment promotes economic growth, investment, and busin...