Understanding the Business Environment

Financial Times
Claire Capon  
Total pages
June 2009
Related Titles

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Understanding the Business Environment
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Understanding the Business Environment introduces the nature and environment of organisations to the first-time student of business. Clearly and accessibly, the book examines the external and competitive environment of business, as well as the structure, culture, resources and functions inside organisations.

This combination of both the internal and external environment of organisations is unusual, and marks this book out as particularly valuable for courses aiming to give students a rounded introduction to business.

It is written for students on undergraduate and postgraduate degree programmes in business, or business-related disciplines.

The following online resources support the text:

  • For Students: self-assessment questions, glossary, revision “flashcards”

  • For Instructors: teaching manual, powerpoint slides


  • Entry and Exit Case Studies in each chapter illustrate concepts in action
  • Check your Understanding features in each chapter enable students to revisit learning objectives
  • Weblinks and Further Reading provide a ready source of references from which to begin and extend research projects and other assignments

New to this Edition

  • New chapter on Managing Knowledge & Innovation (ch.11)

  • New cases in every chapter

  • Revised structure to cover external environment before internal environment

  • Focus on corporate governance, ethics and CSR in chapter 12

Table of Contents


                        List of case studies       


                        Teaching with this book           

                        Guided tour of the book           


            1          The external environment                     

            2          The composition of the external environment     

            3          The competitive environment    

            4          Inside organisations      

            5          Culture and organisations         

            6          Organisational behaviour                      

            7          Human resource management               

            8          Marketing        

            9          Operations management                       

            10        Finance           

            11        Managing knowledge and innovation                

            12        Stakeholders, governance and ethics                            


Back Cover

Understanding the Business Environment provides you with a clear and concise introduction to all of the most important activities taking place inside and outside organisations.

Written by experienced author and lecturer Claire Capon, this popular textbook examines and explains:

-         how political, economic and social conditions – both nationally and internationally – affect organisations of all types and sizes

-         the roles and functions that individuals and groups perform inside an organisation

-         how innovation, governance, and other key issues affect an organisation’s performance and success

Packed with features to make learning outcomes obvious, help you check your understanding, and encourage you to think critically, the third edition of this book also contains 24 new and engaging case studies including:

-         long-standing global brands such as Microsoft, Coca-Cola and Cadbury

-         newer names like Lush cosmetics, and the organic food industry

-         businesses in the emerging economies of China and Russia, as well as the recent demise of Icelandic banks

So, if you are looking for an accessible and lively introduction to the study of business, then Understanding the Business Environment is the book for you!


Claire Capon is Senior Lecturer at Staffordshire University Business School. She is also author of another Pearson textbook: Understanding Strategic Management (2008).

Instructor Resources