There are many factors that can affect how successful a business will be. External factors are the factors that are outwith the control of a business. Even though a business has no control over external influences, these influences can have a large impact on the business. These factors can be grouped into the following areas:

• political
• economic
• social
• technological
• environmental
• competitive

A good way to remember the external factors is by using the acronym PESTEC.