EXECUTIVE SUMMARY <200 words> This assignment illustrates an analysis of the marketing strategy employed by GoPro Inc. on their camera line called HERO. It is divided into two parts one of which shows the full marketing audit of GoPro in the US that includes an evaluation of the current market performance presenting the way GoPro … Read more
Samsung is a notable hardware brand. It is well known for its cell phones and TVs and a few different gadgets like cameras and wearable gadgets. The brand is likewise known for its emphasis on mechanical advancement. As of late, its deals have developed and in 2016 it conveyed noteworthy money related outcomes. Its lead … Read more
Around the world, developed economies and emerging economies have been influenced by the supermarkets as they have acquired an increasing share of the grocery market, which led to, the impact on the demand of food grown, transporting and packaging, and livelihoods of many consumers (See Appendix 1.4 and 1.6). For the past 10 years, Sainsbury’s, … Read more
PESTEL Political From a political perspective, Costco faces regulatory complications in other countries. In the US, Costco is able to flourish with relatively few applicable regulations and a strong economic environment. One domestic political issue Costco faces is the uncertainty regarding tariffs imposed on goods that Costco sources from abroad. These tariffs have the potential … Read more
Events are developing and rising all around the world and are seen to have vital cultural, economic and social effects on the host city. However, regularly, the host cities invest most of their efforts on funding of events, with a little attention given to evaluate the impacts of event on residents’ quality of life (QoL). … Read more
In this report, we will be looking at Hilton Hotels Corporation, which is a global hospitality company with more than 5,500 properties and 163,000 employees (Fortune 500, 2018) over the world. This well-known hotel brand is known for their well-trained staff members, brilliant service and loved by millions of business people all over the world. … Read more
Introduction Multinational Corporation (MNC) is an enterprise operating in various countries but is mainly managed from their home country where they coordinate global management. It is an organization or company that gathers at least a quarter of its’ revenue from operations outside of its’ home country. In this assignment, I will be researching on the … Read more
Introduction to Shell: Royal Dutch Shell is a large business that operates in the oil and gas industry and trades in the EU. Shell operates in a worldwide scale via working in 70 different countries, it produces 3.7 barrels of oil daily with 44,000 stations operating daily. Shell makes a revenue of 345 billion Dollars … Read more
PESTEL A PESTLE analysis will be used to analyse the macro-environment in Sweden. A PESTLE analysis breaks down the political, economic, social, technological, legal and environmental factors of a country which would have an external impact on business in that country. Political factors Sweden is a constitutional monarchy ruled by the governmental parliament, similar to … Read more
Introduction The economic race between each country caused an enormous changed of global economic growth and caused the formation of globalisation (Underwood, 2014). Globalisation is a new phenomenon that has become increasingly prominent in the world. It is the basic characteristic of the present age, the economic transformation by which organizations or different associations create … Read more
Above source: ECMS
A PESTEL analysis (sometimes PESTLE or more recently PESTELE) is a tool used by marketers to analyse and monitor the macro-environmental (external marketing environment) factors that have an impact on an organisation. The result of which is used to identify threats and weaknesses which are used in a SWOT analysis.
PESTEL and PESTLE are the same thing – simply, the ‘E’ and the ‘L’ sometimes get swapped around. Sometimes you will see a shortened form – a ‘PEST’ analysis, which is pretty self explanatory – it misses off environmental/legal.
PESTEL is an acronym for:
P – Political
E – Economic
S – Social
T – Technological
E – Environmental
L – Legal
E – Ethical (NEW)
Political factors can have an influence upon strategic planning in the private sector as well as the public sector. This can be inter-industry politics (for example, the war between forestry regulatory bodies, PEFC and FSC, which also has ethical and environmental aspects) Or can be public with opposing national or international political party opinions (for example Brexit, its pros and cons, potential risks etc).
Economic factors will have a drastic effect upon organisational strategizing as some elements of a strategy may be simply out of reach financially. One strategy may be favoured over another purely on the grounds of profitability, potentially at the peril of other PESTLE factors.
The public perception of an organisation will be important for consideration especially for public relation strategies. How the organisation is seen by others will have a bearing on the organisation’s actions and choices with regard to other PESTLE factors. Other social aspects of a strategy will focus on the internal work culture of an organisation. Strategies which aim to improve staff productivity will take careful consideration of social factors within a working environment.
Advancements in technology can prompt new strategies but strategies can also prompt the development of new technology. Other PESTLE factors can give rise to new technological strategies. For example political and environmental pressures have encouraged the emergence of renewable energy technology which in turn have their own economic & social considerations.
Organisations need to comply within the legal boundaries of their operations and this will influence strategic planning. A strategy to increase profitability couldn’t revolve around evading tax because this would be illegal (and would also have ethical and social impacts).
Businesses have a responsibility to carry out their operations in an ethical and environmental manner. Even if a business strategy plan is legal, is it also ethical to operate in a given way? For example, there is no law against the purchase of some un-certified timber but without certification and regulation, we do not know that the timber has come from sustainably managed forests that seek to reduce environmental impact.
In practise, PESTLE aspects are very much linked: for example, political decisions affect economic, social, technological, legal and ethical factors of business strategy. A prime example of this would be introduction of the General Data Protection Regulation in 2018. Under EU law, the GDPR changed the way in which organisations could handle personal data. Marketing strategies were particularly influenced by the change in legislation in terms of:
- The economy (the cost of implementing organisational GDPR policies)
- Social factors (How social media platforms reacted and revised policies to improve their public relations)
- Technological factors (how personal data is harvested and stored)
- Legal factors (passing of new legislation and the consequent regulation of GDPR law); and
- Ethical factors (questioning whether it is ethically acceptable to use personal data in advertising etc).
Above you can find some links to examples of PESTEL analyses.