Environmental analysis is the process of assessing the various external factors that can impact an organization or project. This includes examining elements such as economic conditions, political stability, social trends, and technological advancements. By understanding these factors, businesses can make informed decisions and develop strategies that align with their goals and the surrounding environment. Additionally, environmental analysis often involves evaluating regulatory requirements and ecological impacts. Organizations may conduct a SWOT analysis (Strengths, Weaknesses, Opportunities, Threats) to identify potential challenges and opportunities in their environment. This comprehensive approach helps ensure that decisions are sustainable and responsive to changing conditions.