Question

Macro systems and shifts in macro systems inevitably affect entrepreneurs and the opportunities available to them. Referring to the Macro Systems model shown in Chapter 4 of your textbook, along with the supplemental information on Bb, you will take a 25-point quiz related to how macro systems influence functional systems implemented by entrepreneurs.

Answer 1

1. PEST analysis generally is used to analyse various factors like social, political, economic and technological influences of a business.

2. Social influences include the lifestyle of a consumer, needs, etc., political factors include tax policies, laws, etc., economic influences include unemployment, inflation, etc., technological influences include advancement as we know it.

3. Generally all these factors which are comprised in the macro system are to be examined as they affect entrepreneurs or say are necessary in building or expanding a business.

PEST - PoliticalEconomicSocialTechnological (factors or influences)