PESTEL Analysis is a simplified and vital as well as widely used tool that helps you understand the big picture of the Political, Economic, Socio-Cultural and Technological, Environment and Legal framework in which the business is operating in. PESTEL a well-known model used in establishing the vision of the future...
In the business world, there are many factors in the macro-environment that will effect the decisions of an organisation. Hence, by employing the PESTEL framework, many different factors in a firm's macro environment may be analysed and comprehensively understood...
The important point is to move from the second step to the third step: it is sterile just to describe factors without thinking through what they mean. However, be careful not to assume that your analysis is perfect: use it as a starting point, and test your conclusions against the reality you experience. The following prompts may help as a starting point for brainstorming...
Effect of wars.
Overall economic situation
Ease of access to loans
Interest rates, inflation Unemployment
Taxation policies and trends
Lifestyle patterns and changes.
Media views and perceptions.
Ethnic and religious differences.
Future technology innovations.
Increase in online usage.
Intellectual property rights.
Legislation in employment.
Competition and health and safety.
Future legislation changes.
Changes in European laws.
Attitudes to the environment, from the government, media and consumers.
Current and future environmental change.