The micro-environment comprises all those factors that influence a company’s ability to perform directly or indirectly and are considered as its immediate surroundings. The micro-environment can be defined as a part of a larger system or unit that has its own boundaries within which it operates. In other words, a micro-environment is like a small environment that contains many different things such as people, resources, and tasks. These factors have a direct bearing on the firm’s regular business operations. The term microenvironment refers to all of the elements of an organization’s immediate environment that influence the performance of the company. Difference between Micro and Macro Environments.
