Define the term "sociocultural environment" with regard to business.

Every business firm operates in a given type of
environment.  The environment is the firm's surroundings.  Some aspects of the
environment have the ability to affect how the firm will need to behave and what its
strategies will be.  The sociocultural environment is that part of the firm's
environment that has to do with society and culture (as opposed to purely physical or
economic factors).

Each firm operates within a particular
society or societies.  It must alter its behaviors so as to conform to the social and
cultural values of the places in which it is operating.  For example, a firm operating
in America may well use scantily clad models in its advertising, but a firm operating in
a more conservative society should not.

Firms must always
be aware of their sociocultural environment so that they will not act in ways that are
offensive to their potential customers.