PEST Analysis is a tool that helps to analyse the environment and constraints that are placed on developing and implementing an e-business strategy from outside the business. It is an acronym for Political Economical Social and Technological factors. 2.2.1 Political The major political factors affecting H&M are restrictions on imports and exports and relocation of production facilities since the company has chain stores in different countries. There is also a restriction on shipment of goods which is a concern for H&M. Relocation of manufacturing and outsourcing continues to be a contentious issue as companies seeks to maintain profit margins and reduce costs as well as receive incentives to locate production in specific areas.
One of the activities as mentioned above is damming of lakes for hydroelectricity. The water or the air around a hydropower dam is not polluted by it. Nevertheless, hydropower facilities do have significant environmental impacts on the environment, affecting land use, homes, and natural habitats. Another major impact is the disruption of the river’s flow downstream. This impedes the transportation of sediments downstream that is needed by downstream ecosystem (“internationalrivers”, n.d.).
Traditionally PEST analysis was known as the PEST analysis. Came into being by splitting the social part of the PEST into environmental and economic element legal element as these factors have an important role in the strategic management. (palmer and Hartley,2012). Few of the well-known examples of PEST are: The growth
The ENVIRONMENTAL CRISIS is one that is very much documented in its different interlocking indications of industrial pollution, resource consumption, and population explosion. The criticalities of the issues are complex; in particular, the fundamental elements for human survival, especially water supplies and agricultural lands, are being threatened over the planet by population and consumption pressures. With expanding soil disintegration and farm land loss, genuine concerns are being raised about the capacity of the humans to encourage its own particular future. Also, across the board decimation of species and the insistent loss of habitat keep on accelerating. Environmental crisis further weakens endeavors to reverse these patterns and to move toward a sustainable future for people and nature.
Moreover, porter's 5 forces model, strategic teams and rival analysis are utilized in the business understanding Then the gap analysis, the cultural internet, SWOT analysis are accustomed establish the planned intend of the corporation. Finally, limitations, Recommendation and conclusion reevaluated throughout the analysis of the report and data collected from external
The PESTEL analysis needs to help in determining the external environment prevalent in the geographical area. This reveals about the political scenario prevalent and the policies, regulations and motive that it has to promote the particular type of business and organization. The economic factors determine whether the area will be able to sustain the product and will portray the usefulness of the strategy in this regard. The social factors are also important factors in evaluating suitability of the strategy. Technological and environmental factors also require to be estimated while determining suitability of the strategies.
SWOT analysis and PEST model have been addressed in Zhan’s study (2011) by using Huawei Technology Corporation as an example to talk about the internationalization of Chinese MNEs and Italy market analysis. To get more proof and information, Williams (2011) applied a mixed techniques combined with PESTEL Model, Porters Five Forces as main tools and with SWOT analysis as complementary
Although more people come to urban area and join the industry, but the provisionment hadn’t decrease or stop. As the reason which is offered by James Stuart Olson explained, “this happen is new technology make grain to be high production”10After, industrial revolution, transportation like rail road made it’s more convenient to transfer the agriculture products across country. Better industry and agriculture, and urbanization are vital effect of industrial
LINKAGE EFFECTS: The Linkage between Poverty and Infrastructure is depicted by the flow chart below and how an increase in investment can lead to reduction in poverty levels and eradication. Fig 2.2 Showing the Linkage effect of Infrastructure on Poverty and Growth To analyse upon how the improvement in infrastructure can lead to growth and in broader terms even Poverty Eradication we shall discuss about the cases where higher investment has lead to economic growth and thereby poverty alleviation. In 2010, a study took in Sawada, Sri Lanka which evaluated the role of irrigation infrastructure in mitigating the negative impacts of poverty using household panels there. . The point estimates derived by the propensity score matching method showed