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3.4 infernal influences on business

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definition: Internal influences relate to the specific factors within the business that will affect its operations. internal influences on a business include:

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1) product
2) location
3) management
4) resource management
5) business culture

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Product

1) The type of goods and services produced will affect the internal operations of a 
 business. The range of goods and services refers to the number produced by the business. 2) Product influence will be reflected in the type of business; and the influences will vary due to a service provider will be structured differently to a manufacturer or retailer.
3) The size of the business, as previously mentioned, will be based on the range and type of goods and services produced, the level of technology utilised, and the volume of goods and services produced

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Location locations of a business greatly influences a business due to the great effect on the business way to success or failure. if a business were located in a poor business area the sales and profits would be negatively effected. hence the choice of location is vital. types of businesses that are greatly influenced by location are retail and service- orientated businesses; thesis because they rely on the flow of people walking past their store (this is called the passing trade)

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the main concerns of a business referring to location is the connivence and visibility of the store. prime location = customer convenience + visibility

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to prevent failure it is best to avoid establishing a business in area of low rental because consumers are most likely to not make the efforts to search for the business.

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contemporary business : one that sells a similar range of goods and services its may be beneficial to establish a business near a contemporary business; this would result in more customers because they will be attracted to a single site.

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Location

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