PESTLE and SWOT Analysis of Zara

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PESTLE AND SWOT ANALYSIS

Contents
Pestle analysis............................................................................................................ 3
Political-................................................................................................................ 3
Economic factors..................................................................................................... 3
Social factors.......................................................................................................... 3
Technological factor................................................................................................. 4
Environmental factor................................................................................................ 4
Legal factors-.......................................................................................................... 4
SWOT analysis of ZARA company.................................................................................4
Strengths............................................................................................................... 4
Weaknesses............................................................................................................ 5
Opportunities.......................................................................................................... 5
Threats.................................................................................................................. 6
Bibliography.............................................................................................................. 7

The company where I interned was ZARA. The ZARA company is one of the biggest
international chain of apparels. It is the Spanish based organisation that is affected by the
internal and external environment of the country.
Pestle analysis
Political-
The political environment affects the functioning of the enterprise in many ways. During the
recent years the UK environment had been in the continuous state of flux due to the Brexit
philosophy. The UK has the modern parliamentary democracy that is marked by the
constitutional monarch but the monarch’s role is highly ceremonial in nature. There four
important political party in England that are largely on front for fighting off the elections. In
recent times, there has been the high degree of political instability which was created due to
the decision of the Brexit. The Brexit decision caused the large scale of mass violence and
conflicts among the states in the country. The political instability resulted in disturbances for
the business to perform successfully. The UK also maintains good relations with various
international organisations such as UN and WHO that grants its power and autonomy to get
the things done.
Economic factors
The second important component is the economic factor that affects the business decisions.
According to the current GDP UK is one of the largest economies in the world but in past the
episodes of recessions has affected the economy in many ways but it achieved the great peace
among the countries. In 2017, the household sector of British faced with the inflation that
affected the consumers buying power. In the current time, the inflation rate of the British is
1.7% which is optimum rate but in the 2017 the rate was 3.1 percentage. Some experts
claimed that the rates will increase in the future thus affecting the buying power of the people
around.
Social factors
UK is considered one of the most important consumer markets in the globe. In the recent
decade, there has been 5 percent surge in the consumer demands in the various products. The
UK has offered the breeding ground for various real estate, travel and tourism, and
healthcare companies. The UK has been called the diverse country where people of diverse