Page 105 - DMGT401Business Environment

Business Environment Neha Tikoo, Lovely Professional University

Notes Unit 4: Political Environment

CONTENTS
Objectives
Introduction

4.1 Political and Government Environment
4.2 Role of Government in Business
4.3 The Indian Political System

4.3.1 Political System
4.3.2 Political Institutions
4.3.3 Prominent Political Parties of India
4.4 Summary
4.5 Keywords

4.6 Self Assessment
4.7 Review Questions
4.8 Further Readings

Objectives

After studying this unit, you will be able to:
Discuss role of Government in business
Explain Regulatory and Legal Role
Discuss Infrastructure Development and Human Resource Development
Describe Entrepreneurial Role and Planning Role

Introduction

Does politics drive economics or does economics influence politics? This is a critical question.
But if we analyse world history we will realise that it is a two-way traffic, wherein they influence
each other. During medieval ages we find that foreigners invaded India for the sake of her
wealth but these invasions changed the whole political system of India. The World War II was
fought for the sake of colonies (money which colonies used to yields). Because of prevailing
economic conditions, the famous revolts of France, Russia, USA and China took place and all
these revolts not only changed the political system of the respective countries, but also their
economic systems.

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