Macro and Micro Analysis Assignment

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Added on 2021-02-22

Macro and Micro Analysis Assignment

Added on 2021-02-22

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MACRO AND MICROANALYSIS1

TABLE OF CONTENTSINTRODUCTION................................................................................................................................2MACRO ENVIRONMENT.................................................................................................................2Pestle Analysis.............................................................................................................................2MICRO ENVIRONMENT...................................................................................................................6CONCLUSION.....................................................................................................................................7REFERENCES.....................................................................................................................................8

INTRODUCTIONThe micro and macro environment of the country refers to as the overall businessenvironment which impacts the whole working of the business (Pelto, 2019). The present studyis based on the company Ola Cabs which undertakes its micro and macro environmental factorswhich impacts its business.MACRO ENVIRONMENTPestle AnalysisPolitical and legal factorCountry- 01: FranceFrance shares good Bilateral relation with other countries and enjoys political stability. Thegovernment of France has no policy or restriction for new entrants but French government hasset fixed investment limit for foreign enterprise which 1,500,000 Euros. The government ofFrance have made regulation that all the cabs will charge its customer on the basis of kilometresrun and not at the time of booking the cab (French political culture, 2004). Also, thegovernment has made the regulation that the drivers of the private chauffeured vehicles mustcome back to their position only after dropping the passenger to their desired place.Country- 02: ItalyIt follows a framework of democratic republic and a multi-party system and is based on Romanlaw. In Italy, the taxi cabs need to be white and yellow colour. In present time there is a harshpolicy relating to taxi business and many people are against the licenses for the drivers and theyare protesting it.3

Country- 03: NetherlandsThe political system of the country is a decentralized and democratic state. The foreign policyincludes integration with Europe, international development, compliance with international lawand maintaining transatlantic relations. Coalition of different parties forms the government ofNetherlands. In Netherlands, many electric Tesla cabs are replacing the petrol and diesel cabsand needs to be licensed. The taxis need to be light blue in colour the number plate with blackcharacters on it.Economic factorCountry- 01: FranceFrance shares top 10 economies of world in export and FDI in France has increased in form ofstart-ups and expansion. The GDP of France continuously increase which denotes goodeconomic position and favourable factors to set up business. The GDP of France increased by0.2 % in the second quarter of 2019 in comparison with previous quarter (France GDP- GrossDomestic Product. 2019).Country- 02: ItalyIt is very rich in terms of GDP and is a capitalist economy. The country has 4th largest reserve ofgold and has innovative businesses going on in the country. The inflation is based on consumer4

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