Business Environment of Nepal
Course Title: Business Environment of Nepal
Course Code: MGT 135
Area of Study: Core
Credit Hour: 3
This course examines the economic, social, political, and legal interfaces between the business institution
(especially the corporation) and the environment. The course intends to provide students with a overview of the
environmental forces within which business must operate, and an understanding of the analytical tools that
managers use to solve business and economic problems. The focus is to enable students to identify, understand
and evaluate the environmental forces causing change in business performance and future strategic options.
The topics include socio-economic, political-legal, technological, and global business environment, business-
government relations, performance of industry and agricultural sectors and financial sector policy reforms.
UNIT I: Introduction L.H.6
Business and its environment, types of business environment, environmental analysis – process and
techniques, scanning methods, use of environmental analysis in strategic management
UNIT II: Macroeconomic Environment L.H.15
Dimensions of the economy, major problems and challenges facing Nepalese economy, employment
trends and labour market issues, migration and foreign employment, economic development plans,
industry and agricultural sectors – performance and emerging challenges, economic policies and reforms
– industrial policy, privatization policy, trade policy, tourism policy, and monetary policy; liberalization
of the Nepalese economy and capital market reforms, macroeconomic factors influencing competitive
environment in Nepal.
PURBANCHAL UNIVERSITY, Faculty of Management
Bachelor of Business Administration
UNIT III: Political -Legal Environment L.H.8
Political structure in Nepal, an overview of Nepalese constitution and business legislation, Government
and its branches, business- government relations, risks involved with Nepalese political environment and
the emerging issues, legislations relating to labour, finance, investment, intellectual property, e-business,
and consumer protection.
UNIT IV: Socio- cultural Environment L.H.6
Components of socio-cultural environment, family structure and social organizations, class structure and
classification, socio-cultural changes and their effects on business, Social conflict and its impact on the
UNIT V: Technology and Energy Management L.H.5
Business and technology, current status of technology, technology transfer issues, IT policy of Nepal,
natural environmental issues, energy situation in Nepal, environment and energy management issues in
UNIT VI: Global Business Environment L.H.8
Concept of globalization – trends and issues, regional grouping of nations, regional trade agreement in
South Asia – SAARC, SAPTA, SAFTA and BIMSTEC, foreign direct investment in Nepal, WTO and
Pant, Prem R. Fundamentals of Business Environment in Nepal, Buddha Academic Enterprises.
Agrawal, Govind, Dynamics of Nepalese Business Environment. M. K. Publishers.
Business Legislations and related publications of the Government of Nepal