MKTM028: Strategic Marketing PESTLE Analysis of Pollution Bikes in UK

This report provides an environmental analysis of "Pollution Eating Bikes" using the PESTLE framework, focusing on a potential market entry into the United Kingdom. Originating from China, the bikes aim to combat smog, a pressing issue in both China and the UK. The report details the political and technological factors that would significantly impact the product's success in the UK, including governmental support, resource allocation, and technological integration. It also highlights the potential for the bikes to address the UK's air pollution problems. The analysis emphasizes how a technologically advanced environment can enhance the bikes' quality and market reach. Desklib offers similar solved assignments for students.

Running head: STRATEGIC MANAGEMENT
Strategic Management
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Executive Summary
This report will give an overview of the concept of the environmental analysis and its
importance in the contemporary business world. The report will begin by providing an over
of the “Pollution Eating Bikes” manufactured in the nation of China. The report will also
provide an overview of the concept of PESTLE analysis and the importance of this particular
tool in the business world. The report will conclude with a discussion of the political and the
technological factors which is likely to affect this particular product in the United Kingdom.

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Table of Contents
Introduction................................................................................................................................3
“Pollution Eating Bikes”............................................................................................................3
Choice of the nation...................................................................................................................4
PESTLE Analysis.......................................................................................................................4
Political factors.......................................................................................................................6
Technological factors.............................................................................................................7
Environmental factors............................................................................................................8
Conclusion..................................................................................................................................8
References................................................................................................................................10

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Introduction
The business world in the present times has become much more competitive than it
was a few decades ago and it is a reflection of this that various new innovative products are
being launched by the diverse business organizations (Hillson and Murray-Webster 2017). It
is significant to note that these business organizations use the various platforms provided by
the “developments in the fields of technology as well as innovation” to launch new products
and services which were unheard of in the past (Paul, Yeates and Cadle 2014). These
business organizations use new as well as innovative products and also strategies to not only
capture the business market but also to gain a sustainable advantage over their competitors in
the market (Paul, Yeates and Cadle 2014). Therefore, it would be apt to say that these
business organizations are posing a threat to the already well established business
organizations of the world. In the opinion of many people “the advent of globalization as well
as the recent developments in the field of technology has much facilitated this particular
process” (Hillson and Murray-Webster 2017). This report will focus on the new “Pollution
Eating Bikes” and will provide an environmental analysis of this particular product on the
basis of the framework of PESTLE analysis.
“Pollution Eating Bikes”
The technology of the “Pollution Eating Bikes” was initially developed in the nation
of China. However, the original technology behind this particular bike was developed by the
“Dutch designer Daan Roosegaarde” (Gibbons 2018). It is significant to note that this
particular bike was originally designed to control the excessive amount of smog and pollution
which is causing a serious problem in the nation of China (Gibbons 2018). In the words of the
designer of this particular bike Roosegaarde, “the idea for his Smog Free Project came just
over three years ago, as he gazed out of his Beijing apartment’s window” (Kentish 2018). It is

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significant to note that in the nation of China more than “1.6 million people die every year in
China from breathing toxic air, and in December a much-publicised airpocalypse hit 460
million people, who were exposed to smog levels six times higher than the WHO’s daily
guidelines” (Kentish 2018). It is precisely here that the significance of this particular
innovation. This particular bike is in the testing phase right and if its sustainability is proved
then following the model of the “reverse innovation” this particular technology will be used
in the other nations of the world as well (Hart 2018). It is significant to note that many first
world countries of the world are already trying to enter into collaboration with the Chinese
nation to use this particular technology (Hart 2018). In the opinion of many people if the
sustainability of this particular technology is proved then it might as well be incorporated
with the other top brands of the world (Hart 2018).
Choice of the nation
The country selected for the purpose of the expansion of this particular bike is the
United Kingdom. It is significant to note that although the dominion of the United Kingdom
is one of the most technologically advanced ones yet the nation faces a significant amount of
threat from the environmental perspective. In addition to this, it is seen that the nation is also
facing the same problem of smog which the nation of China is facing and therefore the
technology will be very useful for the nation consideration. Furthermore, as the United
Kingdom is one of the first world nations of the world so the nascent technology of the
“Pollution Eating Bikes” can be incorporate with the other significant innovations as well as
top brands of the nation.
PESTLE Analysis
PESTLE is the acronym for the “political, economic, social, technological, legislative
and environmental” factors (Srdjevic, Bajcetic and Srdjevic 2012). This particular framework

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“of macro-environmental is factors used in the environmental scanning component of
strategic management” (Srdjevic, Bajcetic and Srdjevic 2012). Furthermore, in the opinion of
many people this particular framework is “part of an external analysis when conducting a
strategic analysis or doing market research, and gives an overview of the different macro-
environmental factors to be taken into consideration” (Hillson and Murray-Webster 2017).
Moreover, this particular tool is often used by the various business organizations not only to
access their external environment but also to understand their business positions and also to
get an idea about the best way to devise their business operations plan (Hillson and Murray-
Webster 2017). In the opinion of many people the originator of this particular framework was
“Harvard professor Francis Aguilar” in his famous book “Scanning the Business
Environment” (Srdjevic, Bajcetic and Srdjevic 2012). In the business world, the framework
of the PESTLE analysis is thought to offer four major benefits, namely, the first benefit
which this particular framework provides to the various business organizations is that it
provides them with an idea about the key opportunities which galore the concerned business
organization and also the weaknesses on which they need to work on in a bid to bring about
their overall growth as well as development (Paul, Yeates and Cadle 2014). The second
benefit which this particular framework provides to the business organization about the
“direction of change” which they need to make (Cadle, Paul and Turner 2010). Thirdly, this
particular framework also helps to avoid the start of the projects or the services which are
likely to fail and therefore helps the business organizations to save a considerable amount of
resources (Cadle, Paul and Turner 2010). Fourthly, this particular framework becomes
especially important when the various business organizations are following the path of
globalization and planning to open their centers in the other nations of the world (Cadle, Paul
and Turner 2010). It is significant to note that in such situation an analysis of the business
environmental factors of the nation becomes very important and it is here that the importance

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of this framework lies as it helps the various business organizations to analyze the external
macro-environment of the business organizations (Paul, Yeates and Cadle 2014). These in
short are some of the benefits of the framework of PESTLE analysis.
An analysis of the United Kingdom as the future market for the “Pollution Eating
Bikes” would reveal the following facts-
Political factors
The political environment of a nation plays a significant role in the overall business
operations of a particular business organization (Lilleker and Jackson 2013). Furthermore, it
is seen that a stable political environment is very congenial for the overall growth as well as
the development of a particular business organization (Lilleker and Jackson 2013). Therefore,
it can be said that a stable political environment is one of the prerequisites of a business
organization. It is significant to note that an unstable or volatile political environment is very
uncongenial for the business operations of a particular business organization. In addition to
these, the role played by the government of a particular nation is also very significant to note.
The government of a particular nation should take active initiative for the allocation of the
natural resources owned by the nation concerned to the various private business organizations
which are operating in the nation concerned (Lilleker and Jackson 2013). Furthermore, the
demand of the government for the particular products or the services offered by a particular
business organization not only helps in the creation of demand of the product under
consideration here but also helps in achieving the sustainability of the product or the service
offered by the business organization under consideration (Ho 2014). In the opinion of many
people the government of a particular nation can “operate as an almost unbeatable competitor
in the marketplace” (Lilleker and Jackson 2013). Thus, it is very important for the various
business organisations to have an idea about the diverse strategies of the government. It is
significant too note that these factors which play a significant role for the “Pollution Eating

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Bikes” in the market of the United Kingdom. This particular product manufactured in the
nation first of all will require the support of the various governmental authorities of the
United Kingdom. It is significant to note that depending on the decision of the government of
the United Kingdom this particular innovation can be merged with the existing innovations of
the United Kingdom or can stay the way it was developed in the nation of China as a separate
entity (Lilleker and Jackson 2013). Furthermore, this particular product manufactured in the
nation of China will require not only the support of the government of the nation of the
United Kingdom but will also require the natural resources of the nation of the United
Kingdom. These natural resources of the United Kingdom will play a significant role in the
overall growth as well as the development of this particular product. Another significant fact
to note that the United Kingdom is facing several problems in the present times on the score
of air pollution and smog which is causing not only breathing problems but also other related
problems among the citizens of the United Kingdom (Ho 2014). Therefore, the government
of the United Kingdom is likely to show a positive interest in this particular product as it is
likely to reduce the smog problem of the nation in a significant manner.
Technological factors
The technological factors also wield a considerable influence on the business
operations of a particular business organization. It is significant to note that the recent
technological advancements have considerably changed the way the various business
organizations conduct their business (Marres 2016). Therefore, it is often seen that the
various business organizations often take the help of the various forms of recent technology
and innovations to bring about the overall growth as well as the development of their
business operations. In addition to this, it would be fair to say that the United Kingdom, being
a first world nation is very technologically advanced and thus it provides very advanced
technological opportunities to the various business organizations operational in their nation

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(Marres 2016). It is significant to note that this particular technological environment will be
very congenial for the “Pollution Eating Bikes” developed in the nation of China. This
particular product developed in the nation of China can utilize the technological innovations
of the United Kingdom to further enhance the quality of this particular product. It is
significant to note that this particular can be merged with the other top brands of the United
Kingdom to reach out to a much larger number of people or they can offer this particular
product to the customers as a single entity itself (Marres 2016). Furthermore, the devise
which this particular bike uses for the absorption of the smog to cleanse the air can be further
developed in the United Kingdom using the latest technology as well as the innovations of
the nation. Therefore, it can be said that the technologically advanced environment of the
nation will be very congenial for the “Pollution Eating Bikes” developed in the nation of
China.
Environmental factors
The environmental factors in the recent times have emerged as one of the majors
causes of concern for the various business organizations. Therefore, this particular product
innovated in the China which is aimed to curb the smog as well as the pollution of the
environment. Thus, this particular product is likely to not help the nation in controlling the
level of smog and pollution but is also likely to find a suitable market in the United Kingdom.
Conclusion
To conclude, the recent advancements in the field of technology and the other factors
have drastically changed the way the various business organizations conduct their business. It
is a reflection of this that every year several new business organizations emerge in the market
providing a range of technologically advanced products as well as services to the customers.
The “Pollution Eating Bikes” developed in the nation of China is one such instance. It is

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significant to note that this particular product was developed in the nation of China in
response to the growing environmental problem of pollution and smog which the nation is
facing at the present moment. This particular product manufactured in the nation of China is
therefore looking for a market in the other nations and the various nations of the world
following the concept of reverse innovation are vying to get this particular product in their
own nation. However, the various political as well as the technological factors will also play
a significant role in the business market of this particular product in the United Kingdom.

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References
Cadle, J., Paul, D. and Turner, P., 2010. Business analysis techniques: 72 essential tools for
success. BCS, The Chartered Institute.
Dcosta, A., 2011. PESTLE analysis history and application. by Edwards G., http://www.
brighthubpm. com/project-planning/100279-pestle-analysis-history-andapplication/(visited
on 9.6. 2014 at 10.57 pm).
Gibbons, K. 2018. Clean the air as you ride on pollution-eating bikes. [online]
Thetimes.co.uk. Available at: https://www.thetimes.co.uk/article/clean-the-air-as-you-ride-
on-pollution-eating-bikes-cxt5sncqw [Accessed 19 Apr. 2018].
Hart, A. 2018. Anti-smog bikes: could pedal power clean China's polluted air?. [online] the
Guardian. Available at: https://www.theguardian.com/cities/2017/may/19/anti-smog-bikes-
china-air-daan-roosegarde [Accessed 19 Apr. 2018].
Hillson, D. and Murray-Webster, R., 2017. Understanding and managing risk attitude.
Routledge.
Ho, J.K.K., 2014. Formulation of a systemic PEST analysis for strategic analysis. European
academic research, 2(5), pp.6478-6492.
Kentish, B. 2018. New bike reduces pollution by cleaning air as you cycle. [online] The
Independent. Available at: https://www.independent.co.uk/news/bike-pollution-cleaning-air-
bicycle-beijing-china-dan-roosegaarde-a7829891.html [Accessed 19 Apr. 2018].
Lilleker, D. and Jackson, N., 2013. Political campaigning, elections and the Internet:
Comparing the US, UK, France and Germany (Vol. 4). Routledge.

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Marres, N., 2016. Material participation: technology, the environment and everyday publics.
Springer.
Paul, D., Yeates, D. and Cadle, J. eds., 2014. Business analysis. British Computer Society.
Srdjevic, Z., Bajcetic, R. and Srdjevic, B., 2012. Identifying the criteria set for multicriteria
decision making based on SWOT/PESTLE analysis: a case study of reconstructing a water
intake structure. Water resources management, 26(12), pp.3379-3393.