PESTLE Analysis of AUDI

Running head: AUDI 0
Strategic Thinking
PESTLE Analysis of AUDI

AUDI 1
Factors Key Point Description Key Drivers of
Change
Political  Lack of Political
stability
 Low restrictions on
foreign trade
 Currently,
there is lack
of political
stability in
Germany due
to Trump
administration
.
 Markets such
as EU and UK
are offering
government
subsidy for
promoting the
purchase of
low emission
vehicles.
 President
Trump has
threatens
German
automobile
firms with US
import tariff
of 35 percent
(Taylor and
Rinke, 2017).
 AUDI has
pushed the
development
of carbon
dioxide-
efficient
engine cars
and
government
has removed
restrictions
for
environment-
friendly cars
(Rieger,
2017).
Economic Reduction in unemployment The unemployment
rate in Germany was
3.6 percent in August
2017 (Eurostat,
2017). It assists the
enterprise in hiring
talented employees,
and it also increases
the investment of
customers on cars
which increases
company’s profits.
For example, AUDI
has reported 12
percent rise in its
sales in 2017 (Tsui,
2017).
Effective German
labour policy
(Kurzarbeit) and
increased exports
resulted in reducing
unemployment in the
country (Warren,
2010).
Sociocultural Benefit of consumerism AUDI is
manufacturing fuel
efficient and low
emission cars for its
customers. It has
The popularity of
electric vehicles and
expansion in markets
such as India and
China require AUDI