Notes of M. Com 1st Sem, Business Environment & Po PESTLE ANALYSIS - - Study Material
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MACRO ENVIRONMENT, ANALYSIS
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PEST analysis describes a framework of macro-environmental, factors used in the environmental component of strategic, management., , The PEST factors, combined with external micro-environmental, , factors and internal drivers, can be classified as opportunities and, threats ina SWOT analysis.
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Political, Political Stability, Proper laws and legal, framework, Proper IPR protection, Government policies, Favorable tax policies, Favorable labor laws, Favorable policies for, foreign investment, , ’ Proper Security, , Economical, , Economic Industrial Growth, GDP Per Capita, Purchasing Power Parity, , . Number of Consumers, interest and inflation rate, Exchange rate and currency, Stability, , ‘ Unemployment rate, Investment Opportunity, Trade Balance, , ee, , ¥ Technological, Development, Innovation, , R&D, , Skilled resources, , Easier acceptance of new, technologies, information and, Communication, , Social, ¥ Demographic inctuding, , — rate, sex ratio,, distribution, , Fopuiuton Gensity etc., , Social culture and lifestyle, , Basic and Higher, , Education, , Human Development, , index, , Social safety and benefits
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The PESTEL Analysis provides you with a framework that enables, you to investigate your external environment by asking questions, for each factor and discussing the likely implications., , * What are the key political factors?, * What are the important economic factors?, * What cultural aspects are most important?, , * What technological innovations are likely to, occur?, , * What current and impending legislation may, affect the industry?, , * What are the environmental considerations?