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GSM Lecture 5Management > Global Strategic Management > Conditions > Macro/microenvironment > Porter's 5 Forces > 5 Forces explained > 5 Forces continued > Market analysis > System views > Macroenvironment
The macroenvironmentAs previously mentioned there is a global macroenvironment and national macroenvironments for firms to take into account. Each nation has its own unique set of macroenvironmental conditions related to its history and development. Each national macroenvironment is affected by the global macroenvironment and each is affected in a different way. In addition, the global (national) macroenvironment affects the global (national) industry and market conditions. Firms can very rarely affect the macroenvironment and must respond to its changes. STEP (or PEST) analysis is a useful tool for a firm to understand and respond effectively to the macroenvironment. STEP stands for:
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