We have conducted a comprehensive analysis of the business environment of the company Energoles Bohor d.o.o. The analysis was carried out through the expanded PEST(LE) analysis and with the Porter's model of competition, that analyse the external business environment and through the SWOT analysis that analyse the company's internal business environment. Analysis of the wider external environment has shown that the business success of the company is most influenced by the political, legal and economic environment. Within the political and legal environment, the state through bureaucracy and fiscal policy greatly diminishes the competitiveness of the company on the markets. However, on the other hand, state has been increasing the competitiveness of the industry through various action plans and incentives for strengthening the forest-timber chain, since poor technological equipment, lack of development and cooperation among actors throughout the forest-wood chain reduces its competitiveness. Modest credit activity of the economic environment hampers the modernization of production. The analysis of the internal environment has shown that Energoles Bohor d.o.o., as the primary wood processing company, faces many advantages and disadvantages in its internal business environment. The advantage of the company is that the entire production is concentrated in one location. The disadvantage is reflected in the production of low value added products which do not allow for rapid upgrading and expansion of production.