4.2.5 How might your target market be affected by government policies (e.g. new by laws or changes in taxes)?

Governments create the rules and frameworks in which businesses are able to compete against each other. From time to time the government will change these rules and frameworks forcing businesses to change the way they operate. Business is thus keenly affected by government policy. The world economy has over the last decade been undergoing a process of transition and change. The adjustment that took place in the advanced industrialized countries had repercussions on the rest of the world.