Which development is a demographic change relevant to a business?

Correct answer: A. An ageing population in the target market

  • A. An ageing population in the target market
  • B. A reduction in the central bank policy rate
  • C. A new court ruling on product liability
  • D. A rival introducing a cheaper product

Explanation

Demography concerns population characteristics such as age, size, gender, and distribution. An ageing target market can alter demand for products and the type of workforce available.

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About The Business Environment

Business environment includes the internal factors and external forces that affect business decisions, performance and survival. It covers customers, competitors, suppliers, government, technology, economic conditions, society, law and ecology, including the distinction between the microenvironment and the wider PESTLE environment.

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