Business environment, as the term suggests, is the environment in which a business is operated. It includes everything that is part of the environment, we can say that it describe the perfect condition of the world in which a business is operated the best. The business environment includes each and every aspect of all the factors that can effect the processes and procedures of a business. The environment is not only the surroundings but can also be within a business, yet effect it.

There are two types of environments regarding the types of effects they create. One is the external element effecting a business, it is called external environment. The other is internal element, also known as the internal environment. A business is successful only when its environments are being studied and dealt with. the business needs to mold itself, taking the right action to carry out its progress with the flow of the environment, since this could prevent useless resistance and improve the performance.