The Impact Of Economic Condition Of A Business Organization

Any business can be influenced by the formation of economy. Economics is the fact that can establish or demolish a business. Changes of economic condition of a business organization are the main following factor. The increase of economic condition is the sign of business success. On the other hand a business organization can identify its failure by seeing the decrease of economic condition. Economics for business is related with the issues and problems regarding the economic strategies. The structure of an organization along with the capital, labor and the markets of the products are the main focusing issues of economics for business. Moreover the establishment, changes and diversity of business structures greatly depends on business†¦show more content†¦Among so many elements of micro-economic environment customers, employees, suppliers, competitors and investors are the main factors that can influence a business organization. Any business cannot be operated within profit w ithout attracting the targeted customers. Employees are the main element to produce products or services. Suppliers are the channel or media to distribute the product or services of a business organization. Competitors are the best motivator to produce best product or service. Sometimes it may not be possible to take any action of a business organization without an investor. Investors are the capital arranger of a business organization (Bottazzi, Da Rin and Hellman, 2011). Micro-Economic environment also include the location for setting up the office for starting business. Vodafone has to find place where it can target its potential customers easily and customers could have easy access to their services. Micro-Economic environment also includes the environment of the marketplace which is further subdivided into location and governmental policies. Vodafone has to check whether these both factors are in harmony with their business policies or not. For the best explanation we can analyze the micro-economic factors of a best business organization in the world named Microsoft. Microsoft is a business organization which holds all the micro-economic environmental factors. Microsoft targets a group of