Bus 201 september 15, 2015 chapter 2 the environment of business. External environment everything outside organizations boundaries that might affect it: no single firm can control enviro. Organizational boundary separates organization from environment: boundary from other companies, territory, organizations can have multiple enviro ex: bauer sports equipment vs. Economic environment - conditions of econ system where organization operates: recessions, trying to make money smaller package, more $ The business organization: econ enviro, political/legal enviro, global business enviro, emerging challenges/opportunities, business enviro, social/cultural enviro, technological enviro, outsourcing, social media, management. Main measure of growth is my aggregate output total quantity of g/s produced by econ system during a period. Output per capita + system provides more g/s than ppl want = higher standard of living. Standard of living total quantity/quality of g/s that country citizens can purchase with their econ system currency.