There are two key external macro factors that influence organizations and business, which are
Competitive environment and Government Intervention. The government tries to combat market
inequities through regulation, taxation, and subsidies. Governments may also intervene in
markets to promote general economic fairness.
a) Discuss how interest rates influences business operations. 8 Marks
b) Discuss how the macro environment influences/impacts upon business
activities.8 Marks
c) Provide explanation for any two (2) competitive forces affecting a business. 4 Mark