A business, to run successfully, is influenced by both internal economic factors and external economic factors. The business has control over internal economic factors and can adjust to a mixed blend of various variables to help the business to run smoothly. On the other hand, the business has no control over external economic factors.
The economic dimension comprises economic conditions, economic policies, and economic systems and conditions induced in a country. The unemployment rate, interest rates, taxes, value of rupee, stock market indices and personal disposable income, and so forth are the components that influence the economic environment.
Based on these economic conditions, an entrepreneur can change the existing situations into business opportunities. They can induce the present market and propel the consumers to purchase the products and services they offer. Entrepreneurs create new market segments and niches to sell their products.