Batumi, Georgia, Volume II, December 13-14, 2018 1st International Scientific and Practical Conference «Imperatives of development of civil society in promoting national competitiveness» BUSINESS ENVIRONMENT OF ENTERPRISE Sardak S.E., Doctor o f Economics, Associate Professor, Oles Honchar Dnipro National University Movchanenko I.V., graduate student «PhD» Oles Honchar Dnipro National University Research of the business environment is an actual problem of scientific and applied research. According to the author's hypothesis, the business environment, along with the actions of staff, applied technologies and resources, are the main factors of business efficiency. The business environment is a combination of forces, factors and actors that shape and influence the functioning of enterprises. However, identification of the business environment is a complex and important issue. Thus, for a particular enterprise, the business environment can be considered as an internal and external environment. The internal environment of an enterprise is a source of its effective functioning, because it includes the potential for development over a certain period of time. But the internal environment can also be a source of problems and even bankruptcy of the enterprise in the event that the potential does not ensure the effective functioning of the enterprise. The internal environment of the enterprise as part of the general environment is within the enterprise and directly affects the efficiency of the enterprise. The internal environment depends on the level of organizational culture, which should be analyzed in the process of studying the internal environment of the enterprise. The internal environment has several components, each of which includes a set of key processes and elements and represents the potential of the enterprise. Generally accepted to include in the internal environment of enterprises: Human resources that includes such processes as: interaction of managers and employees; hiring, training and career growth of personnel; evaluation of work results and stimulation; creation and support of the relationship between employees and so on; -Organizational potential includes: communication processes; organizational structures; norms, rules, procedures; distribution of rights and responsibilities; hierarchy of subordination; -Production potential includes various characteristics of production processes, supply and maintenance of storage facilities; technology park maintenance; research and development; -Marketing potential covers those processes related to the sale of products: pricing, product promotion on the market, choice of markets and distribution systems; 108 Batumi, Georgia, Volume II, December 13-14, 2018 1st International Scientific and Practical Conference «Imperatives of development of civil society in promoting national competitiveness» -financial potential includes processes related to ensuring the effective use and cash flow of the enterprise, liquidity, profitability, investment opportunities, etc. The external environment directly surrounds and influences the enterprise. The microenterprise of international management determines controlled factors along with the factors determined by the activities of strategic partners, suppliers, competitors, intermediaries, and customers. The objects of the external micro-environment also include laws and state bodies, trade unions, the press and other state and non-governmental organizations with which the firm contacts. The external environment is the source of the resources needed to maintain its internal capacity at an appropriate level. The enterprise is in a state of constant exchange with the external environment, thus providing the possibility of survival. Therefore, there is always the possibility that the company will not be able to obtain the necessary resources from the external environment. This can weaken its potential and lead to many negative consequences for the company. The external environment is the source of providing the organization with the resources necessary to maintain its internal capacity at the required level for achieving the goals. The macro environment provides external conditions for the operation of the enterprise. The study of the economic aspects of the macro-field is associated with the formation and allocation of resources. An analysis of the size of the gross national product, inflation rate, unemployment rate, bank interest rates, labor productivity, tax rates, balance of payments, rates of accumulation, etc. allows us to determine the initial conditions for the functioning of a trading enterprise. In addition, the success of an enterprise or the threat of its existence directly depends on the overall level of economic development, availability of natural resources, natural and climatic conditions, the degree of development of sectoral competition, demographic and labor factors. Summing up, we note that the business environment has high dynamism, information uncertainty and unpredictability of events and results of their activities, which requires a revision of traditional approaches to the formation of competitive strategies and management in the global economic space. References: 1. Bogodistov Y. Gendering dynamic capabilities in micro firms / Y. Bogodistov, A. Presse, O. P. Krupskyi, S. Sardak // RAE Revista de Administracao de Empresas. - 2017. 57(3). Р. 273 282. DOI:http://dx.doi.org/10.1590/S0034-759020170308. 2. Sardak S. Global factors which influence the directions of social development / S. Sardak, M. Korneyev, A. Simakhova, O. Bilskaya // Problems and Perspectives in Management. 2017. - No 15(3). Р. 323 333. DOI:http://10.21511/ppm.15(3-2).2017.02. 3. Shtal T. Methods of analysis of the external environment of business activities. T. Shtal, M. Buriak, G. Ukubassova, Y. Amirbekuly, Z. Toiboldinova, T. Tlegen // Espacios. -2018. -Vol. 39 (12). P. 22.