What does environmental scanning involve?

Environmental scanning is a strategic process that encompasses examining both internal and external factors that influence business decisions. This includes assessing a variety of elements such as market trends, competitive landscape, regulatory changes, and technological advancements, as well as internal elements like company culture and operational capabilities.

By analyzing these factors, businesses can identify opportunities and threats in their environment, which aids in strategic planning and decision-making. This dual focus on both internal and external contexts is crucial for organizations to adapt and thrive in a constantly changing market landscape.