The formula for business success requires two elements - the individual and theenvironment. Remove either value and success becomes impossible. Businessenvironment consist of all those factors that have a bearing on the business. The term'business environment implies those external forces, factors and institutions that are beyond the control of individual business organisations and their management and affectthe business enterprise. It implies all external forces within which a business enterpriseoperates. Business environment influence the functioning of the business system. Thus, business environment may be defined as all those conditions and forces