Pestle Analysis
Pestle Analysis
Pestle Analysis
PESTLEANALYSIS
oduction
The term PESTLE is used to describe a framework for analysis of macro environmental
factors.
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Political factors may also include goods Mu Your
and services which the governmentOmpa Business
wants to
Strategy
provide or be provided and Environmenta! Social
those that the government does not want
to be provided. TecAmotog Samaum 4pno
-
For example, interest rates affect a firm's cost of capital and therefore to what extent
a business grows and expands.
Exchange rates affect the costs of exporting goods and the supply and price of
imported goods in an economy.
The money supply, inflation, credit flow, per capita income, growth rates have a
bearing on the business decisions.
3. SOCIAL
Social factors affect the demand for a company's products and how that company
operates.
4. TECHNOLOGY
5. LEGAL
Legal factors affect how a company operates, its costs, and the demand for its products.
6. ENVIRONMENTAL (Nanmal)
farming, and in_urance.
Factors affect industries such as tourism,
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Growing awareness to climate change is affecting how companies operate and the
and diminishing or destroying existinc
products they offer--it is both creating new markets
ones
hen transpose the final items that we have identified
from your list to a PESTLE matrix.
Legal Environmental
Regional Legislation