Micro-environment
The micro-environment is the set of actors close to a company that directly affect its ability to serve its customers: suppliers, intermediaries, customers, competitors and other publics
What it means, how it is used and where it comes up, with its related concepts.
What it is and how it works
Unlike the macro-environment, made up of broad forces such as the economy or regulation, the micro-environment consists of parties the company deals with directly and can influence to some extent, for example by negotiating with suppliers or differentiating itself from competitors. Some authors also include the organisation itself and its departments.
It is often analysed alongside tools such as Porter’s five forces and feeds the external part of a SWOT analysis. For example, the arrival of a new competitor or dependence on a single supplier are micro-environmental factors.
Also known as
Microenvironment, Task environment
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