What Is the Definition of a Sociocultural Environment?

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A sociocultural environment is a population, and it is described with special attention paid to social and cultural factors. It includes cultural norms, demographic information and religious information. The term is common in business.

Business analysis is often fairly simple. Common metrics, such as population statistics and disposable income, have long been included when discussing populations. However, companies often have trouble entering foreign markets, and many believe that this is due to cultural and social differences business analyses tend to ignore. As a result, modern businesses now take time to explore these differences.

Owners and managers of a restaurant chain might determine that their local success is the result of creating the best hamburger ever made. However, their hamburger is destined to fail in India, where the dominant Hindu religion forbids eating beef. By adjusting the menu and offering appropriate options for Indian social and cultural customs, however, the company has a better chance at success.

The term is also important when dealing with foreign policy. Studies have shown that access to contraceptives improves the lives of people in the developing world. If the population is predominately Catholic, however, people are unlikely to take advantage of contraceptives as the Catholic church forbids their use.