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1. To know where the enviroment is heading: to observe and size up the relevant events nad trends in enviroment.

2. To discern which events and events and trends are favourablefrom standpoint of the firm and which are unfavourable to figure out the opportunities and threats hidden in the enviromental events and trends.

3. To project how the enviroment each factors of the enviroment-will be at a future point of time.

4. To asses the scope of various opportunities and shortlists those that can favourable impact the business.

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