Digital Ecosystem Analysis: Extreme Digital's Strategy and PESTLE

This report provides an analysis of Extreme Digital's digital ecosystem, focusing on strategy implementation and a PESTLE macro-environmental analysis. The study examines how Extreme Digital, a company developing wearable action cameras and drones, can leverage its digital presence. It explores the benefits of ED's strategy for differentiation, including creating an open culture, adapting to change, and rethinking business models. The PESTLE analysis covers political, economic, social, and technological factors affecting the digital ecosystem, highlighting the importance of understanding these elements for effective marketing. The report emphasizes the need for ED to stay ahead of the digital curve and leverage third-party platforms to create a successful digital ecosystem. References to relevant research papers are also included to support the analysis.

Running head: DEVELOPING A DIGITAL ECO-SYSTEM
Developing a digital eco-system
(Extreme Digital)
Name of the student:
Name of the university:
Author Note

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Understanding implementation of strategy by Extreme Digital and (PESTLE)
Macro environmental analysis of digital ecosystem:
In the field of marketing, digital ecosystems are detailed visuals of how every social and
digital resource of brands interact and interconnect. For understanding this, Extreme Digital is the
company developing wearable action cameras and drones across various nations.
In this study deployment of ED strategy has been advantageous for strategy differentiations.
A PESTLE Macro environmental analysis is done on digital ecosystems.
1. Implementation of ED strategy beneficial to differentiation strategy:
Creating an open and collaborative culture:
This is a capability of consuming, adopting and absorbing the latest information and
innovation that are been originating from the industry. It can be said that instead of an open culture,
level of adoption and sharing is complex for Extreme Digital.
Staying open to change:
It is challenging for large and legacy organizations. They have still dealt with various heavy
management models with clunky technology systems. However, ED needs more time to change
different systems that are outdated and entrenched within their business.
Rethinking business models:
This step implies the examining of processes of ED, management styles, contracts, silos and
government structures and finds out what has been fitting the current digital era.

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Staying ahead of the digital curve:
Instead of any supporting modern technology, it has been complicated to undertake a
meaningful response to the digital ecosystem. They are created for innovation, advancements and
learning. Besides, there are various outdated software, clunky data centers and failing connections
that have been making innovation and shares difficult (Weill & Woerner, 2015).
2. PESTLE analysis of the digital ecosystem:
In the current complex scenario, any simple marketplace reality is not sufficient for ED for
providing comprehensive investigation. This macro-environment analysis is done through the
following PESTLE analysis.
Political:
Marketers requires the understanding of political scenarios of targeted audiences. These
political scenarios, emerging trends and predispositions are complex to create plans. Digital media is
a fundamental too to change and should be placed on the radar on the marketer. Hence, the current
situation is an intersection between digital revolution and political change.
Economic:
Regarding conditions of home economics to monetary and taxation issues, ED’s wallet has
been playing a fundamental and central issue. Despite pricing strategy, the underlying social issues
have been driving a purchase in the beginning place.
Social:
The trends of a lifestyle of Extreme Digital, buying partners, cultural issues and ethics and
consumer trends are tremendous problems. They have been living online through a smart name. For

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instance, Twitter and Facebook are the few. This very context of social behavior is invented,
evaluated and played out under the context of the digital world (Kabakova & Plaksenkov, 2018).
Technological:
There has been a rising concern about whether Society has been defining technology and
technology is defining society. This emergence of technology and applications to regular life
extending from banking to healthcare has defined the context that marketers have required to know
and thrive in.
The above study has put emphasis on new digital relationships. This is helpful for EDs to
concentrate on different strategic initiative helping to drive success. It must be reminded that as ED
decides to leverage any third-party platform for supporting activities of business, an effective digital
ecosystem can be created.

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References:
Kabakova, O., & Plaksenkov, E. (2018). Analysis of factors affecting financial inclusion: Ecosystem
view. Journal of Business Research, 89, 198-205.
Weill, P., & Woerner, S. L. (2015). Thriving in an increasingly digital ecosystem. MIT Sloan
Management Review, 56(4), 27.