LESSON 2:
FINANCIAL INSTITUTIONS,
INSTRUMENTS, AND
MARKETS
, LESSON 2:
FINANCIAL INSTITUTIONS, INSTRUME
AND MARKETS
OBJECTIVES:
• DESCRIBE A BUSINESS ENVIRONMENT
• DISCUSS THE FINANCIAL SYSTEM
• IDENTIFY THE ELEMENTS OF A FINANCIAL
SYSTEM; AND
• DIFFERENTIATE BONDS FROM STOCKS
, LESSON 2:
FINANCIAL INSTITUTIONS, INSTRUME
AND MARKETS
BUSINESS ENVIRONMENT
- “The sum total of all external and internal factors that
influence a business. You should keep in mind that
external factors and internal factors can influence each
other and work together to affect a business.” (study.com)
, LESSON 2:
FINANCIAL INSTITUTIONS, INSTRUME
AND MARKETS
POLITICAL
SYSTEM
ECONOMIC SOCIO-CULTURAL
SYSTEM SYSTEM
LEGAL
TECHNOLOGICAL
SYSTEM
SYSTEM
SYSTEM- composed of
several parts with
FINANCIAL
interrelated functions.
SYSTEM THE BUSINESS
If one part of the system is
dysfunctional, the operation
of the whole system is
expected to be adversely
affected.