The Pest Analysis Of The Pestle Analysis For Starbucks

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The constant global economic recession has hurt the current economic environment by diminishing the general public’s purchasing power, which, in turn can have a detrimental effect for Starbucks as part of the consumer goods industry. However, recent market research has shown that, despite any signs of recession, consumers are yet to diminish their coffee consumption, however, they are looking for cheaper alternatives, which means that Starbucks is still able to influence buyers by offering less costly products. Consumers are generally becoming more conscious of ethics and fair trade, which means that they are interested in buying from brands that are both socially and environmentally conscious, and that can be a challenge for a large organization such as Starbucks. A PESTLE analysis is a tool used by companies to track the environment they’re operating in or are planning to launch a new project, product or service. PESTLE is a mnemonic which in its expanded form denotes P for Political, E for Economic, S for Social, T for Technological, L for Legal and E for Environmental. It gives a bird’s eye view of the whole environment from many different angles that one wants to check and keep a track of while contemplating on a certain idea/plan (Pestle Analysis, 2015). Below, you can find the PESTLE analysis I have performed for Starbucks. POLITICAL FACTORS IMPACTING STARBUCKS The most important political factor affecting Starbucks and other coffee companies is the sourcing of
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