This document provides a Pestle analysis of MI business, evaluating the impact of different macro environment factors. It covers political, economic, social, technological, legal, and environmental factors and their implications for the business.
Contribute Materials
Your contribution can guide someone’s learning journey. Share your
documents today.
Task
Secure Best Marks with AI Grader
Need help grading? Try our AI Grader for instant feedback on your assignments.
TABLE OF CONTENTS INTRODUCTION...........................................................................................................................1 TASK 2............................................................................................................................................1 PESTLE analysis.........................................................................................................................1 CONCLUSION................................................................................................................................3 REFERENCES................................................................................................................................4
INTRODUCTION Pestle analysis is a tool that is useful for every business in order to evaluate different macro environment factors so that business can analyse their impact and can take effective decision to overcome them. Report will include pestle analysis of MI business. TASK 2 PESTLE analysis Figure:- 1 It is a framework that the business use in order to analyse different macro environment factors and their impact on the business. These factors can be opportunity for the business or may become threat for their growth. The different factors are as following:- Political factors:- There are different political factors that may impact the business like foreign trade policy, labour law, trade restrictions, government policy etc. As the government of UK is supporting for the infrastructure development, this will bring opportunity for MI business to develop in direct direction. There are different laws that government have set with respect to health and safety 1 Illustration1: PESTLE analysis
regulations. However, in order to trade in different countries, MI business will face different barriers as business will be required to pay high tariffs and taxes that will increase the price of its offering. Meanwhile, many customers will not prefer to have high price offerings (Rastogi and Trivedi, 2016). Economic factors:- There are different economic factors that affects the business such as inflation rates, interest rates, economic growth, unemployment rates etc. If the interest rates are high in market, it will impact the liquidity of MI business. If the tax rates goes high, then also price of the products that MI offers will get rise and that may impact the sales of the business. However, as the demand of the products that MI offers get raised, it directly impacts the inflation as supply of money in market get raised (Zahari and Romli, 2019). Social factors:- There are different social factors that impacts the business such as health conscious, population trends, income distribution, lifestyle etc. As the preference and lifestyle of people are shifting towards innovative products or gazettes having attractive features. Income distribution also impact the business and as it is raising in developing countries, MI will be getting opportunity to produce its quality products with affordable price range in order to give greater customer services (Fozer and et.al., 2017). Technological factors:- There are different technological factors that impacts the business like innovation, research and development, technological changes etc. As there is tough competition in market with respect to innovation and technological advancements, MI is having opportunity to sale its products with the help of online platforms. Business is also required to make its official website attractive in eyes of the customers. However, as there are many firms available in market, business is having tough competition and need to work on innovation so that they can offer products that is somehow different from other offerings in market (Islam and Mamun, 2017). Legal factors:- There are different legal factors that impact the business such as consumer protection laws, copy rights and patent laws and also health safety laws. MI is working effectively by following health and safety rules and providing the customers with privacy options. However, business may get threatened if they do not have copyright of its innovation and also patent of its 2
Paraphrase This Document
Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
offerings. Business is required to have a trademark also so that other businesses cannot copy their ideas (Zahari and Romli, 2019). Environmental factors:- There are different environmental factors that impact the business, for example carbon footprints, pollution, sustainability etc. MI is having an opportunity to attract its customers with the help of sustainability in its business activities. As company is laying focus on performing operations in an eco-friendly manner and also working to reduce carbon foot prints. This in turn creates an effective image of its brand in eyes of the customers (Rastogi and Trivedi, 2016).. CONCLUSION From the above study it is been concluded that MI business is required to work on innovation in order to compete in market and also have to patent its offerings so that other firms cannot copy their ideas. 3
REFERENCES Books and Journals Fozer, D. and et.al., 2017. Life cycle, PESTLE and multi-criteria decision analysis of CCS process alternatives.Journal of cleaner production.147. pp.75-85. Islam, F.R. and Mamun, K.A., 2017. Possibilities and challenges of implementing renewable energy in the light of PESTLE & SWOT analyses for island countries. InSmart Energy Grid Design for Island Countries(pp. 1-19). Springer, Cham. Rastogi, N.I.T.A.N.K. and Trivedi, M.K., 2016. PESTLE technique–a tool to identify external risksinconstructionprojects.InternationalResearchJournalofEngineeringand Technology (IRJET).3(1). pp.384-388. Zahari, A.R. and Romli, F.I., 2019. Analysis of suborbital flight operation using PESTLE. Journal of Atmospheric and Solar-Terrestrial Physics.192. p.104901. Online PESTLEanalysis.2019.[Online].Available.Through<https://www.google.com/search? biw=1541&bih=810&tbm=isch&sa=1&ei=Eq3oXbfND5fcrQGo- 4WICQ&q=pestle+analysis+hd&oq=pestle+analysis+hd&gs_l=img.3...20813.21376..21600...0. 0..0.183.751.0j5......0....1..gws-wiz- img.......0i67j0j0i8i30.vNbhZLQPAlg&ved=0ahUKEwi3nu_W- Z3mAhUXbisKHah9AZEQ4dUDCAc&uact=5#imgrc=5KK4kVeovo-0FM:> 4