Marine Logistics: STEEPLE Analysis of Singapore and Business Growth Rate

Running head: MARINE LOGISTICS
Marine Logistics
Name of the Student
Name of the University
Author note

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MARINE LOGISTICS
STEEPLE:
The STEEPLE analysis of Singapore would take into account social, technological,
economic, environment, political, legal and ethical. A STEEPLE analysis of Singapore would
reveal the following findings:
Social:
The first social factor which would come into play in Singapore is the increasing per
capita income. The graph below shows that the country is experiencing rising per capita income
which means that the people in Singapore would have more disposable income.
Figure 1. Per capita income graph of Singapore
(Source: Tradingeconomics.Com)
This rise in per capita income would have positive impact on the industries like logistics
industry in Singapore (XXX is a logistics company). This is because more disposable income
would mean that the people in Singapore would demand more goods as well as services. This

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MARINE LOGISTICS
would that the multinational companies in the country both of Singapore origin as well as foreign
origin would use the services of marine and road logistics. Thus, society plays a very significant
role in boosting the business of the companies based in Singapore.
The second social factor which has led to the growth of industries like logistics industry
is high acceptance of ecommerce in the Singaporean society. The ecommerce industry is growth
very fast and expected to surpass $ 3.74 billion by 2018 (export.gov). This growth in the
ecommerce industry in Singapore can be attributed to the fact that the people in Singapore love
shopping. The increase in income and the increase in the younger population in the country has
pushed the ecommerce industry. Singaporeans prefer buying from national as well as
international ecommerce websites. This placing of large number of orders online would mean
that the ecommerce companies would require to import more goods to cater to the Singaporean
customers. This increase in import would boost the business of logistics companies like XXX
requiring them to acquire more vessels.
Technological:
The market of Singapore is technologically advanced due to presence of information and
communication companies both indigenous as well as foreign. The presence of top ICT
companies have enabled the other industries like marine logistics to gain high level of
advancement. The logistics sector in the country is highly advanced which enables the logistics
companies import goods to cater to the Singaporean market. The technological advancement in
Singapore has also been bolstered by presence of multinational banks which provide the IT
sector continuous capital supply.

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MARINE LOGISTICS
Economic:
The economic factors of Singapore play a dual role in case of every industry including
marine logistics. Industries like marine logistics are involved in cross border operations, thus
strongly coming under the influence of international currency exchange rates.
Figure 2. Graph showing value of SGD againts USD, GBP, EU, JPY and AUD
(Source: Bloomberg.Com)
The graph above compares the value of SGD against five international currencies namely
USD, GBP, EU, JPY and AUD represented by black, orange, blue, red and green respectively.
The comparison between the values of the all the five currency shows are weakening against
SGD with USD as the only exception. GBP once higher than USD with respect to SGD lost its
power around 2016 and is showing weak signs of recovery. AUD shows the weakest signs of
recovery while JPY and EU are also showing signs of recovery however too weak to match up to
the value of USD. This dynamic and volatile international currency exchange rates have