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The internal business environment includes factors within the organization that impact the approach and success of your operations. The external environment consists of a variety of factors outside your company doors that you typically don't have much control over. Managing the strengths of your internal operations and recognizing potential opportunities and threats outside of your operations are keys to business success.
This includes all technological, political, economic and social conditions that influence the future of the organisation. As stated in Daft & Samson (2009), an organisations external environment can be separated into two concepts, the general and task environments.