PESTEL analyses

This article provides a PESTEL analysis of Aston Martin, focusing on the political, economical, social, technological, environmental, and legal factors that impact the company's performance.

Strategy management
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Table of Contents
PESTEL analyses.............................................................................................................................1

PESTEL analyses
It is a tool that is mainly used to evaluate and analysis external factor of an organisations.
The man components and factors of PESTEL analyses are explained below in context of Aston
martin which is a well known European car manufacture having its headquarter in UK:
Political - This factor represents the stability or instability in political environment
together with policies framed and level of interference of political parties in business operation
of a company. The political environment of UK is quite stable that offer many expansion and
growth opportunity for Aston martin through facilitating more easy and smooth policies. But the
recent Brexit issue has created some negative impact on performance of Aston martin through
making trade laws stricter.
Economical - It includes complements like inflation, deflation rate, bank rate, growth
rate, GDP, unemployment rate, disposable income and other factors related with economy of a
nation. UK is having a stable and rapidly growing economy and GDP that is ensuring high
revenues and profit for Aston martin. But the Brexit issue has reduced the value of Pound in
international market that is hampering the profit margin and sales revenue of Aston martin.
Social - This factor is a representative of culture and social belief in which the taste,
preference and demands of customers depend that directly affect sales of a product. The society
of UK is fond of luxurious lifestyle and speedy cars thus, creating positive impact for Aston
martin. On contrary, the rapid change in the needs and demands of customer also create
challenge for Aston martin to remain innovative and come up with new ideas.
Technological - This element depicts the level of advancement in technology that plays a
crucial role in success of a car manufacturer. UK is having access to latest technology that
facilitates better opportunity and use of effective technology for Aston martin to produce and
deliver better and superior quality cars and other accessories to attract larger number of
customers.
Environmental - This factor is associated with conversation and protection of
environment form harmful and hazardous gases together with other unwanted and risky
substances that are created by business operation of companies. This factor has facilitated better
opportunity for Aston martin as it provide larger market and customer base for electronic cars
and vehicles that are environment friendly thus, enhance performance and success level of Aston
martin.
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Legal - This factor is an indicator of various rules and regulations made for protection of
employees and customers in form of different acts and legal provisions. Legal factor has created
a threat and challenge for Aston martin as it has lead to creation of many strict laws to provide a
safe and sound work environment for its employees together with providing a better quality
product and cars for its customers to avoid chances of legal consequences in future.
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