It is usually observed that changes in technology, products, taste and preference of consumer, regulations, government policy, interest and inflation rates take place frequently in markets.
Business environment is not static and it keeps on changing. These changes are so fast and effective that a company has to scan its environment in order to survive in the long-run.
(i) Flat Screen TVs are replaced by LCDs and LEDs, is an example of technological change.
(ii) Shift towards health consciousness, leading to more healthy options of food items, fitness, equipments, etc, are examples of social change.
(iii) More impetus on development of communication and information technology, is an example of’political factor.