PESTLE Analysis Of Zapp's Potato Chips

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The PESTLE analysis helps a business know the six forces that have huge impacts on its business in a particular industry. A PEST analysis helps companies measure current and future markets. The importance of each part in PEST Analysis will change depending on the various industry segments. For instance, particular companies will emphasize certain elements that pertain more so to there industry than others. Political/Legal Factors -Concerning the legal and political factors, all categories of laws have to be respected in every area the business is operating in such as employment law, import/export law etc. Zapp's potato chips have to adapt to modifications in laws by governments. The industry is extremely regulated, the following laws have to…show more content…
Zapp’s do not export to foreign countries, so exchange rates do not influence Zapps. An economic crash is a black swan event that affects the ways consumers will be able to spend their money, leading to negative results for the company compared to previous years. The economic recession can particularly affect the demand for Zapps’ because the savory chips are not one of the highest needs consumers value at a time when money is tight. These factors affect the supply of products Zapps’ will need to produce and expected return on products the company foresees for the future. Multiple economic factors are out of the companies hands that can heavily influence their industry; however, they cannot afford to overlook these factors because of the influence they have on the overall domestic market, not only potato chips. The biggest financial worry is the presence of its challengers in the business. Also, the company has to research the goods, business approaches, and other characteristics of all possible…show more content…
First, cuisine likings within numerous different cultures influence the industry. Secondly, personal health trends have been increasing which directly affects this particular snack industry. Certain aspects play vital roles in the industry, such as the amount of nutrition in each chip in the snack food market. It is known that Utz potato chips are better known on the East Coast than the West Coast, mostly due to the production facilities’ east-coast locations. The company's goal is to target older consumers along with younger ones using different marketing strategies. Age is an extremely important factor. Using environmentally friendly products has a positive influence on the perception of the company. Technological Factors -Technological factors directly influence the industry; new machines are being created to improve production and efficiency of potato chips. Zapp’s has to keep an eye on the technological advancements that the competitors are working on. The company is constantly looking for innovative technologies to expand their position in the market. Companies that have solid online charisma on Facebook, Twitter, and Instagram are extremely beneficial in a competitive market because most people are online and these social media sites are great networks to connect with
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