Thales Strategic Analysis: PESTLE Factors in Three Countries

This report presents a PESTLE analysis of Thales, a company operating in the technology sector, examining the political, economic, social, technological, legal, and environmental factors influencing its business operations in France, Australia, and Singapore. The analysis explores the political stability, economic conditions, social demographics, technological advancements, legal requirements, and environmental regulations in each country. The report highlights how these factors impact Thales's strategic decisions, including market entry, operational costs, and compliance requirements. References from Armando (2015) and Tim (2015) are used to support the analysis, providing insights into the business environment and strategic management practices. The report aims to provide a comprehensive understanding of the external factors that Thales must consider to achieve business success in these diverse global markets.

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Strategic Management
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PESTLE in France
Political
France has a stable political environment favors business success (Tim 2015, p. 29). This
means Thales can succeed in this country because for an organization to prosper, the political
system of the country where it operates should not be related to tensions from time to time.
Economic
France enjoys a moderate economic condition which favor businesses (Armando 2015, P.
58). However, as time goes on, labor and operational costs continues to increase and this may
have a significant impact to the company.
Social
Some of the social factors that may influence the operation of this company in France
include changing demographics (Tim 2015, p. 27). As time goes on, demographics in this
country continues to change due to changes in birth control measures and other factors.
Technological
France is one of the technologically developed countries. Being one of the companies that
deal with technologically related products, this factor may be of benefit to its operations.
Legal
There are various legal requirements which this company must comply with while
undertaking business operations in this country (Armando 2015, P. 59). Some of them comprise
of taxation, labor, and environmental conservation laws.

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Environmental
Air pollution and climatic change have been some of the major factors that the
government strives to address. For this reason, it has enacted various laws which businesses must
comply with. Some of them comprise proper disposal of waste, and engaging in other activities
that enhance environmental conservations.
Australia
Political
Australia has political stability and favorable business conditions. Its political system is
characterized by less negative influence on both domestic and foreign companies
Economic
This country has a proven economic resilience characterized by sustained growth. For
some years, its economy has remained uninterrupted and has been promising to businesses.
Social
Some of the social factors that influence business operations in this country comprise
health consciousness, buying habits, average disposable income level, and lifestyles (Tim 2015,
p. 26). This means because consumers in this country value health consciousness, the company
must produce products which promote health and safety.
Technology

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Australia concentrates on improving its technology by using various measures such as the
Australian science and technology policy. The government funds approximately 53 percent of
research and development as one way of enhancing technology.
Environmental
The country has been experiencing climatic change over the years, and the government
has been implementing various policies to ensure there is maximum environmental conservation
(Armando 2015, P. 57). In its operations, Thales must comply with the environmental
conservation act which aims at promoting ecological conservation.
Legal
The country has legal requirements which businesses such as Thales must comply with.
One of the challenges with legal factors in this country is that they have been changing hence
forcing firms to change their operational tactics.
Singapore
Political
The political risks of operating this company in Singapore is lower because this is a
democratic country which enjoys political stability.
Economic
According to Tim (2015, p. 30), Singapore is a free market economy. Due to various
approaches to income generation activities its economy is growing at a breakneck pace.
Social

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Like other eastern countries, Singapore follows traditional family lifestyles. Its young
generation has the habit of following the western culture. The countries population is moderately
growing, and this may be a benefit this company.
Technological
This country is among the many with fast adoption of technology and use of the internet.
This means it can be easy to operate this company in this country because technology plays a
crucial role in cost reduction and production of high-quality products.
Legal
Various laws and regulations guide business operations in this country (Armando 2015,
P. 55). Some of them comprise of paying the required taxes, adhering to minimum wages, import
and export procedures and so forth.
Environmental
The ministry of environment and the anti-pollution unit has been working relentlessly to
ensure air quality and other ecological factors are enhanced. This means that Thelas must engage
in activities that promote maximum environmental conservation.

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References
Armando, R. G. (2015). Growth and Consolidation of Strategic Management Research: Insights
for the Future Development of Strategic Management. Academy of Strategic
Management Journal, 14(2), 54-68.
Tim, O. (2015). Strategic Management Research in the Journal of Management & Organization:
International in Orientation with an Australasian Edge. Journal of Management and
Organization, 21(3), 25-34.