Business & Commercial Knowledge — Business Environment

Core concepts

1. 01Business environment = sum of internal + external factors affecting business.
2. 02Micro environment: customers, suppliers, competitors, intermediaries, public.
3. 03Macro environment (PESTLE): Political, Economic, Social, Technological, Legal, Environmental.
4. 04Government interventions: industrial licensing, FEMA, FDI policy, MSMED Act.
5. 05Indian financial system pillars: RBI, SEBI, IRDAI, PFRDA, banking, NBFCs.

Exam-critical pointers

• ⭐Distinguish between scheduled and non-scheduled commercial banks (Second Schedule RBI Act).
• ⭐SEBI regulates primary & secondary markets; IRDAI oversees insurance.
• ⭐Make in India, Digital India, Atmanirbhar Bharat — flagship policy initiatives.
• ⭐Niti Aayog replaced Planning Commission in 2015.