Identify which of the following statements are correct.

A. Specific forces of Business Environment include Investors, Customers, Competitors and Suppliers

B. Technological improvement, shifts in consumer preferences indicate dynamic nature of Business Environment

C. Political conditions in the USA differ from that in China and Pakistan, thus business environment is a relative concept.

D. Business Environment is complex but the extent of the relative impact of its various dimensions on change in demand of a product in the market can be easily known.

E. Different elements or parts of a business environment are closely interrelated.

Choose the correct answer from the options given below :

A, B, C and E only

The correct answer is option (1) : A, B, C and E only

Specific and general forces: Business environment includes both specific and general forces. Specific forces (such as investors, customers, competitors and suppliers) affect individual enterprises directly and immediately in their day-to-day working. General forces (such as social, political, legal and technological conditions) have impact on all business enterprises and thus may affect an individual firm only indirectly

Relativity: Business environment is a relative concept since it differs from country to country and even region to region. Political conditions in the USA, for instance, differ from those in China or Pakistan. Similarly, demand for sarees may be fairly high in India whereas it may be almost non-existent in France

Complexity: Since business environment consists of numerous interrelated and dynamic conditions or forces which arise from different sources, it becomes difficult to comprehend at once what exactly constitutes a given environment

Dynamic nature: Business environment is dynamic in that it keeps on changing whether in terms of technological improvement, shifts in consumer preferences or entry of new competition in the market