International Marketing Report: PESTEL Analysis of US Tableware Market

This report presents an international marketing analysis of the US tableware industry, focusing on the application of PESTEL analysis to evaluate the market environment for a potential new entrant, Eminia Tableware. The report examines the political, economic, social, technological, environmental, and legal factors influencing the industry. The political analysis highlights the US's strong democratic structure and global influence, while the economic section discusses the nation's GDP, per capita income, and wealth distribution. The social aspect considers the population trends, literacy rates, and human development index. The technological analysis emphasizes the high social media usage and technological advancements. Environmental considerations address the sourcing of raw materials and manufacturing operations, while the legal section focuses on labor and employment legislations. The report also includes a targeting and positioning strategy, identifying the ideal customer segment based on age, gender, income, and online behavior. The conclusion emphasizes the potential for growth in the US tableware market, given the nation's strong economy and the company's focus on targeting middle and upper-class consumers. The report concludes by referencing several academic sources used to support the analysis.

Running head: INTERNATIONAL MARKETING
International Marketing
Name of Student
Name of University
Author Note

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Table of Contents
Introduction:...............................................................................................................................3
PESTEL Analysis:.....................................................................................................................4
Political:.................................................................................................................................4
Economic:..............................................................................................................................5
Social:.....................................................................................................................................6
Technological:........................................................................................................................6
Environmental:.......................................................................................................................7
Legal:......................................................................................................................................7
Targeting and Positioning:.........................................................................................................8
Conclusion:................................................................................................................................9
References:...............................................................................................................................10

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Introduction:
The importance of the efficient evaluation of the business environment is seen to be
notably high in the modern world of business and that is evident with the increasing urge of
majority of the companies in applying the strategic evaluation related tools. With a precise
look at the interest of the senior management of majority of the companies towards the
incorporation of the scientific management in the business operations of their companies, the
significance of the tools dedicated for the evaluation of the market condition is notably high.
According to Dälken (2014), the companies are observed to be inclined towards the usage of
the tools such as the Porter’s five forces, BCG Matrix, PESTEL analysis, SWOT analysis or
VRIO analysis for evaluating the scope of much required sustainability in the business
activities.
As per the esteemed opinion of Abrham et al. (2015), the importance of analysing the
macro and micro environmental factors for assessing the opportunities associated with the
business actions of the companies, has influenced majority of the modern companies in
applying the techniques such as the PESTEL or Porter’s five forces. According to Ho (2014),
the efficient understanding of the socio cultural condition of the business market is notably
important for the success of the senior management of the modern companies in formulating
their strategic objectives and operational activities and in such situation, the effectiveness of
the PESTEL analysis is pretty prominent. The usage of the PESTEL analysis enables the
companies in achieving the idea of the macro environmental factors of their respective
business markets. The study is focused in analysing the United States Tableware
manufacturing industry with the application of the PESTEL analysis for the entry of a Eminia
Tableware and it also delivers a brief elaboration on probable customer segment of the
company.

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PESTEL Analysis:
United States is the third largest country in terms of the population in the world and at
the same time, it is the fourth largest country in the world considering the aspect of the total
area. The nation is seen to have a steady economy in recent years. The nation is experiencing
a genuine increment in the business investment and along with that, the unemployment rate in
the nation is seen to decrease in a notable manner as well.
Political:
United States is seen to have a strong democratic structure in place and the practice of
the rule of law is pretty prominent with the fair and transparent elections. The political
strength of the nation is pretty significant and that is evident with the impact of it on the
global and national policymaking of the nation. Due to the significant political superiority,
the nation is recognized as one of the superpower of the world. Having said that, the country
is seen to face considerable amount of criticism due to their interventionist policies and that is
affecting their relations with the other nations. Considering the social security, the nation is
observed to be a peaceful state after the incident of 9/11, however, the nation is seen to be
affected by the cases of suicidal terrorism here and there and that affects the law and order in
the nation. However, two largest political parties of the nation, are seen to be reluctant in
providing any sort of significant pressure on the business operations of the company expected
to operate in the Tableware manufacturing industry of the nation. The strong connection of
the nation with various other trade organizations such as the World Trade Organizations or
OECD is seen to be significant for the success of the nation in managing the strong supply of
the raw materials used in the Tableware manufacturing industry (Wto.org, 2019).

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Economic:
As mentioned earlier, United States is one of the most well developed countries in the
world of politics in today’s world and one of the prime reason that contributed towards such a
strength is their srong economic condition. The nation is seen to have an estimated total GDP
(PPP) of 20.580 trillion US dollars in the year 2018 (Data.worldbank.org, 2019). In addition
to this, the per capita value of the total GDP (PPP) of the nation is seen to reach 62869 US
dollars in the same year (Data.worldbank.org, 2019). Apart from this, the country is seen to
be associated with an estimated total GDP (nominal) of 20.49 trillion US dollars in 2018 and
the per capita value of the same, is expected to reach 62869 US dollars (Statisticstimes.com,
2019). In addition to this, the country is seen to have a score of 41.5 in the aspect of gini co
efficient and that certainly portrays a medium distribution of wealth amongst the citizens of
the nation (Data.worldbank.org, 2019). The well established manufacturing and service
industries are seen to be the main pillars of the nation’s economy. Having said that, the
recession that took place in the year 2009, affected the economic condition of the nation in a
notable manner. The country bounced back in the year 2014 and achieved considerable
amount of steadiness in their economy. On the other hand, the increasing budget deficit
affected the economic prosperity of the nation in a notable manner in recent years. With a
precise consideration towards the Tableware manufacturing industry, it is evident that the
significantly strong economic condition of the nation will play a noteworthy role in
increasing the business activities of the companies operating in the Tableware manufacturing
industry of the nation. The medium distribution of wealth amongst the people of the nation
proves the ability of the citizens in purchasing the tableware products in a repetitive manner.
In addition to this, the strong economic condition certainly plays an important role for the
companies operating in the Tableware manufacturing industry in conducting sustainable
business in United States business market.

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Social:
The nation is seen to be affected with the gaining population like majority of the other
developed countries and that is considered to be serious point of concern for the companies
operating in the Tableware manufacturing industry in managing the sufficient supply of the
labours. At the same time, the high score of 0.920 in the Human Development Index
(Hdr.undp.org, 2019), clearly portrays the increasing rate of literacy, high life expectancy rate
and the increasing per capita income of the citizens of the nation. The high score in Human
Development Index is a clear reflection of the urge of US citizens in achieving education and
in continuously improving their skills. With a precise look back at the Tableware
manufacturing industry, it is understandable that the companies operating in the mentioned
industry will face certain difficulty in achieving the young professionals for the management
of their operational activities, however, the nation has the capability to offer considerable
number of skilled and experienced labours for the efficient management of the operational
activities of the companies, manufacturing tableware products. As the tableware products
require certain amount of skills and expertise of the employees, the availability of the
experienced and skilled individuals who have the urge to continuously learn, will certainly
enhance the quality of the products and will place the companies operating in the mentioned
industry in perfect position for the increment of the sales of the tableware products along with
influencing the repetitive purchase intention of the customers in an efficient manner.
Technological:
With a precise consideration towards the high score of the nation in the human
development index, it is understandable that the citizens of the nation have considerable
amount of preferences towards the usage of technological applications. The significant
presence of the people of the nation in various social media platforms is pretty prominent
with the statistics that 77% of the total population of the nation had their presence in social

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media platforms in the year 2018 and that increased to 78% in the year 2019 (Statista.com,
2019). The significant presence of the people of the nation in the social media enables the
company in conducting effective online marketing activities. The increasing literacy of the
people of the nation in handling the social media platforms places the company in perfect
position for promoting their products and services amongst the customers. Other than this, the
application of the technology in the customer relationship management activities has the
capability to increase the attractiveness of the company amongst their customers. The
application of the technology in the CRM of the company will certainly increase the ease of
the company in interacting and communicating with their customers and on the other hand, it
will also enhance the level of comfort of the customers in raising their concern. Along with
that, the application of the technology in the design of the products will be substantial for the
success of the company in increasing the attractiveness of the tableware products.
Environmental:
With a precise consideration towards the environmental aspect, it is understandable
that the sourcing of the raw materials for their products requires to be apt or more
specifically, it must not decrease the sustainability of the environment. Along with that, the
manufacturing operations of the company is in need to be managed in such a manner that it
does not affect the ecological balance of the nation.
Legal:
The company is required to manage the implementation of labour and employment
legislations in a professional manner. The compliance of the organization with the legislative
guidelines of the company in the aspect of the wage and work time characteristics, rewards
and employment contracts is seen to be much required for the sustainability of the business
actions of the company.

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Targeting and Positioning:
The company is seen to be perfectly positioned for delivering optimum quality
tableware products to their customers and along with that, the company is determined in
delivering attractive products in accordance to the preferences of the customers.
Criteria Targeted Segment
Age The company is in need to target the
customers belonging to 20 years to 55 years
as the customers belonging to the diversified
are group are associated with increased usage
of the tableware products.
Gender Both male and female customers are in need
to be targeted by the company as the
customers of both the genders are seen to be
inclined towards the purchase of the
mentioned products.
Income Category The company is largely inclined towards
targeting the customers of middle and upper
class and in doing so, the company is
expected to target the customers having
annual income of more than 65000 US
dollars.
Others The company must target the customers who
have the preferences over the online business
activities as that will increase the ability of

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the company in conducting sustainable
business activities. In addition to this, the
company will be in an advantageous position
for targeting the customers who have their
presence in social media.
Conclusion:
On an ending note, it is evident that the company has the capability to expand their
business activity from Austria to United States and will be associated with a growing
tableware market. United states, being one of the strong nations in politics is seen to be well
connected for managing their trade relations and at the same time, the strength of the
economy of the nation is pretty significant in stating the probable growth for the company in
the mentioned market. Along with that, the company is seen to be determined in targeting the
middle and upper class customers for the increased sales of their products and that will
certainly improve the financial sustainability of the company in the United States Tableware
manufacturing industry.

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References:
Abrham, J., Strielkowski, W., Vošta, M., & Šlajs, J. (2015). Factors that influence the
competitiveness of Czech rural SMEs. Agricultural Economics, 61(10), 450-460.
Dälken, F. (2014). Are Porter’s five competitive forces still applicable? A critical
examination concerning the relevance for today’s business (Bachelor's thesis,
University of Twente).
Data.worldbank.org (2019). GINI index (World Bank estimate) - United States | Data. (2019).
Retrieved 18 December 2019, from
https://data.worldbank.org/indicator/SI.POV.GINI?locations=US
Data.worldbank.org (2019). Home Retrieved 18 December 2019, from
https://data.worldbank.org/indicator/NY.GDP.PCAP.CD?locations=US
Hdr.undp.org (2019). Home Retrieved 18 December 2019, from
http://hdr.undp.org/sites/all/themes/hdr_theme/country-notes/USA.pdf
Ho, J. K. K. (2014). Formulation of a systemic PEST analysis for strategic analysis.
European academic research, 2(5), 6478-6492.
Statista.com (2019). U.S. population with a social media profile 2019 | Statista. Retrieved 18
December 2019, from https://www.statista.com/statistics/273476/percentage-of-us-
population-with-a-social-network-profile/
Statisticstimes.com (2019). Countries by GDP (Nominal) 2018 - StatisticsTimes.com.
Retrieved 18 December 2019, from http://statisticstimes.com/economy/countries-by-
gdp.php

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Wto.org (2019). World Trade Organization - Global trade.. Retrieved 18 December 2019,
from https://www.wto.org/