pest analysis ww
DESCRIPTION
pestTRANSCRIPT
![Page 1: PEST Analysis ww](https://reader033.vdocument.in/reader033/viewer/2022051108/54609624b1af9feb588b51f7/html5/thumbnails/1.jpg)
Business DiagnosticsEvaluate and Grow Your Business
Richard Mimick, Michael Thompson
![Page 2: PEST Analysis ww](https://reader033.vdocument.in/reader033/viewer/2022051108/54609624b1af9feb588b51f7/html5/thumbnails/2.jpg)
![Page 3: PEST Analysis ww](https://reader033.vdocument.in/reader033/viewer/2022051108/54609624b1af9feb588b51f7/html5/thumbnails/3.jpg)
External Environment Diagnostics
� assessment of important external factors influencing business
� useful method – PEST analysis
![Page 4: PEST Analysis ww](https://reader033.vdocument.in/reader033/viewer/2022051108/54609624b1af9feb588b51f7/html5/thumbnails/4.jpg)
PEST Analysis
• POLITICAL FACTORS
• ECONOMIC FACTORS
• SOCIO-CULTURAL FACTORS
• TECHNOLOGICAL FACTORS• TECHNOLOGICAL FACTORS
![Page 5: PEST Analysis ww](https://reader033.vdocument.in/reader033/viewer/2022051108/54609624b1af9feb588b51f7/html5/thumbnails/5.jpg)
PEST analysis
POLITICAL FACTORS
• Legal regulation (taxation, health and safety regulations,
environmental policies, consumer protection, regulating competition)
• Political stability
• Significant political events
ECONOMIC FACTORS
• Economic growth (GDP)
• Interest rates
• Inflation
TECHNOLOGICAL FACTORS
• R&D
• Internet
• B2B PEST analysis • Inflation
• Unemployment
•Exchange rate (currency value)
SOCIO-CULTURAL FACTORS
• Demographics
•Social changes
• Lifestyle changes
• B2B
•Innovations
•Obsolescence
![Page 6: PEST Analysis ww](https://reader033.vdocument.in/reader033/viewer/2022051108/54609624b1af9feb588b51f7/html5/thumbnails/6.jpg)
PEST analysis
� PEST analysis = STEP analysis
� STEEP analysis (social, technological, economic, environmental and political factors environmental and political factors analysis)
� PESTLE analysis (political, economic, socio-cultural, technological, legal andenvironmental factors analysis)
![Page 7: PEST Analysis ww](https://reader033.vdocument.in/reader033/viewer/2022051108/54609624b1af9feb588b51f7/html5/thumbnails/7.jpg)
PEST analysis
It is not necessary to analyze all factors influencing business or organization. Only a few factors are the most important.the most important.
F1 F2
F3F4
F5
![Page 8: PEST Analysis ww](https://reader033.vdocument.in/reader033/viewer/2022051108/54609624b1af9feb588b51f7/html5/thumbnails/8.jpg)
POLITICAL FACTORS
� government assistance to business
� legal regulation of business
� direct competition with business
� global events and influences
![Page 9: PEST Analysis ww](https://reader033.vdocument.in/reader033/viewer/2022051108/54609624b1af9feb588b51f7/html5/thumbnails/9.jpg)
GOVERNMENT INFLUENCE
� Governments could:
� Assist you (support for research, innovation, export, financing, employment)
Regulate you (taxation, health and � Regulate you (taxation, health and safety, environment, competition, consumer protection, investor protection, intangible assets, post Enron – Sarbanes – Oxley)
� Compete with you
� Globally influence you
![Page 10: PEST Analysis ww](https://reader033.vdocument.in/reader033/viewer/2022051108/54609624b1af9feb588b51f7/html5/thumbnails/10.jpg)
ECONOMIC FACTORS
� economic growth
� inflation
� interest rates
� employment
![Page 11: PEST Analysis ww](https://reader033.vdocument.in/reader033/viewer/2022051108/54609624b1af9feb588b51f7/html5/thumbnails/11.jpg)
SOCIO-CULTURAL FACTORS
� demographics (global population trends, ethnic distribution)
� psychographics (behavioral and psychological factors)psychological factors)
� social and lifestyle changes
![Page 12: PEST Analysis ww](https://reader033.vdocument.in/reader033/viewer/2022051108/54609624b1af9feb588b51f7/html5/thumbnails/12.jpg)
TECHNOLOGICAL FACTORS
� internet
� B2B e-commerce
� R&D
� technology changes
![Page 13: PEST Analysis ww](https://reader033.vdocument.in/reader033/viewer/2022051108/54609624b1af9feb588b51f7/html5/thumbnails/13.jpg)
Task 1
� A useful tool to evaluate the business environment is a P.E.S.T. analysis that encompasses the following areas:
� P – Political factors
� E – Economic factors
� S – Socio-cultural factors
� T – Technological factors
� Try to use this method on a chosen company or organization.