Please consider supporting us by disabling your ad blocker. One of the most commonly used analytical tools for assessing external macro-economic factors related to particular situation is PEST Analysis. This analysis is used to assess these four external factors in relation to your business situation.
Political factors are basically how the government intervenes in the economy. Specifically, political factors have areas including tax policylabour lawenvironmental lawtrade restrictionstariffsand political stability.
Political factors may also include goods and services which the government aims to provide or be provided merit goods and those that the government does not want to be provided demerit goods or merit bads. Furthermore, governments have a high impact on the healtheducationand infrastructure of a nation.
Economic factors include economic growthinterest ratesexchange ratesinflation rate. These factors greatly affect how businesses operate and make decisions. Exchange rates can affect the costs of exporting goods and the supply and price of imported goods in an economy. Social factors include the cultural aspects and health consciousness, population growth rate, age distribution, career attitudes and emphasis on safety.
For example, the ageing population may imply a smaller and less-willing workforce thus increasing the cost of labour. Furthermore, companies may change various management strategies to adapt to social trends caused from this such as recruiting older workers. These can determine barriers to entryminimum efficient production level and influence the outsourcing decisions.
Furthermore, technological shifts would affect costs, quality, and lead to innovation. Legal factors include discrimination lawconsumer lawantitrust lawemployment lawand health and safety law.
These factors can affect how a company operates, its costs, and the demand for its products. Environmental factors include ecological and environmental aspects such as weather, climate, and climate changewhich may especially affect industries such as tourism, farming, and insurance.
Furthermore, growing awareness of the potential impacts of climate change is affecting how companies operate and the products they offer, both creating new markets and diminishing or destroying existing ones. Other factors for the various offshoots include: Demographic factors include gender, age, ethnicity, knowledge of languages, disabilities, mobility, home ownership, employment status, religious belief or practice, culture and tradition, living standards and income level.
Regulatory factors include acts of parliament and associated regulations, international and national standards, local government by-laws, and mechanisms to monitor and ensure compliance with these.
|Company Background||However, there will always be factors outside of your control that affect how your business operates. One method for discovering and quantifying those factors is the PEST analysis.|
|Samsung SWOT Analysis (6 Key Strengths in ) - SM Insight||Introduction The company originated from Korea, Seoul; today it is part of household of millions of customers across the globe, generating 50 billion U. S dollars in yearly revenues each year.|
|PESTLE Analysis of Samsung||The company that is a South Korean family owned business has global aspirations and as the recent expansion into newer markets has shown, Samsung is not content with operating in some markets in the world but instead, wants to cover as many countries as possible.|
|PEST Analysis of China||List of Figures Consumer electronics have witnessed increased adoption in the past decade. From traditional consumer electronic products such as smartphones, laptops, computers, tablets, and digital cameras, to the more advanced products such as band, chest strap, activity tracker, fitness monitor, pedometer, and wearable electronic devices, the global market for consumer electronics encompasses a wide product catalog.|
|Political Factors Affecting Sony’s Business||Public Domain Sony Corporation continues its global success by addressing the external factors and related issues in the remote or macro-environment of its business. The company must effectively consider these factors in its strategic decision-making.|
Inter-cultural factors considers collaboration in a global setting. The security environment may include either personal, company, or national security.
Other business-related factors that might be considered in an environmental analysis include Competition, Demographics, Ecological, Geographical, Historical, Organizational, and Temporal schedule. For example, consumer and B2B companies tend to be more affected by the social factors, while a global defense contractor would tend to be more affected by political factors.
Additionally, factors that are more likely to change in the future or more relevant to a given company will carry greater importance. For example, a company which has borrowed heavily will need to focus more on the economic factors especially interest rates.
Furthermore, conglomerate companies who produce a wide range of products such as Sony, Disney, or BP may find it more useful to analyze one department of its company at a time with the PESTEL model, thus focusing on the specific factors relevant to that one department.
A company may also wish to divide factors into geographical relevance, such as local, national, and global.Samsung Electronics Co., Ltd.
(further Samsung), a part of the Samsung Group, is the world’s second largest technology company by revenue. The company produces consumer electronics, telecommunications equipment, semiconductors and home appliances. Mexico, officially the United Mexican States, is a federal republic in North ph-vs.com is bordered on the north by the US, on the south and west by the Pacific Ocean, on the southeast by Guatemala, Belize, and the Caribbean Sea; and on the east by the Gulf of Mexico.
This research analyzes Consumer Electronics Industry in the US in a PEST Framework Analysis. A PEST analysis is concerned with the environmental influences on a business. The acronym stands for the Political, Economic, Social and Technological issues that Price: € Aruvian's R'search analyzes Consumer Electronics Industry in the US in a PEST Framework Analysis.
A PEST analysis is concerned with the environmental influences on a business. In terms of competitive market landscape, the report provides the client with a dashboard view of key players operating in the global consumer electronics market, along with an analysis of company-specific long-term and short-term strategies, key offerings, and recent developments in the global consumer electronics market.
A PESTEL/PESTLE analysis of Sony Corporation considers the external factors in the remote or macro-environment of the company’s business in the electronics, gaming, entertainment and financial services markets.