Business Report on Internal and External Influences

Executive Summary: This report outlines how internal and external influences may impact on business opportunities in NSW. External influences such as Social, geographic, economic, financial and competitive situations are all influences that impact business opportunities in NSW. Internal influences such as Resources, products, management and locations are also factors that contribute to business opportunities in NSW. These influences can affect a business dramatically, the internal influences are easier for a business to change whereas external influences are harder for a business to change as they are influences that a business itself cannot change.

External Influences: Geographical Influences have large impacts on business activity as the geographical location can change factors and lead to changes in the nature of product and service.
Competitive situation can affect the business depending on the number of competitors and the size of competitors. An example of a competitive situation is the article “Network Ten hires programmer John Stephens to flush competitors”. This article was about Network Ten hiring one of Network Seven’s programmer in order to compete with competitors.
Social influences can affect the business if it doesn't respond to changes in taste, fashion and culture and can lead to a decline in sales. If the business responds to changes in fashion and culture the sales will increase. If a decline in sales occurs is may cause threat to the businesses stability & visibility.
Economical influences can affect the business with the economic cycles changing from boom to recession. Financial influences can impact on businesses as they are always changing and are very unsustainable. With interest rates and access of loans constantly changing it is hard to stay financially stable.

Internal Influences: Product Influences can affect a large majority of the internal structures and operations of a business in NSW. If the goods being produced require...