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This question already has an answer here:

I made a model using ModelBuilder. User must be able to specify output featureclasses by basename, I do not want to expose the workspace. The workspace therefore needs to be specified in the model environment. The workspace can be derived from the other specifics.

A savvy user can do this in the toolbox window, however, I want to make it automatic. So, I'm looking for a way to set toolbox environment variables by means of python script. My ArcGIS version is 9.3.1. However, I'm interested in advice pertaining to version 10+ as well, since it just might put me on the right track.

marked as duplicate by PolyGeo, Fezter, whuber Aug 5 '13 at 1:06

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Sounds like you want to create a static workspace name?

Why not add a workspace variable to your model and reference it with inline substitution? This is discussed in the help file.

You could expose it as a parameter if you want them to be able to change it.

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