Macro-environment
The macro-environment is the set of broad external factors that affect an organisation and its market without the organisation being able to control them directly
What it means, how it is used and where it comes up, with its related concepts.
What it is and how it works
It is usually analysed with the PESTEL framework, which groups political, economic, social, technological, environmental and legal factors. Examples include inflation, demographic change, new privacy regulation or the adoption of artificial intelligence.
It differs from the micro-environment, made up of the nearby actors the company deals with directly, such as customers, suppliers, distributors and competitors. Macro-environmental analysis feeds the threats and opportunities part of a SWOT analysis and helps organisations anticipate trends rather than merely react to them.
Also known as
Macroenvironment, General environment
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