H & M Political Factors Analysis

Political factor will influence the H&M and the fast fashion industry , for example , the export regulation and also the political stability of the regions that the company operates in. H&M is a Swedish company so the company will comply with the Swedish legislations and in other countries of the subsidiaries company the laws , regulatory bodies and politics are subject to the countries itself. Due to its global position , minimal political risk is exposed to the company but it doesn’t affect much to the company. Furthermore , the company do not have their own factories in other hand , the company work with suppliers especially in Asia and Europe. The company use their high purchasing power to influences its suppliers which in a good ethical
Due to the technological changes , the decision and purchase of H&M clothing are much more easier and convenient for their customers by using the innovation platform such as matrix coding and online shopping (Lester, Forman & Loyd, 2005; Stout, 2013). H&M customers demand is increased by using the new technology for its advertising and branding through media by updating about the latest fashion styles and also promotion (Rinnebach & Richter, 2014). Besides that , in order to enhance the customer shopping experience , H&M in New York has create a multiplatform arena to promote their fashion appealing to the young generation which is installed the payment centres in the changing rooms to save customers waiting time and long queues. On the same time , the company is highly concern about the customer retail behaviour feedback because the company may launch 7-10 online markets in year 2015 to test on the markets .The development of the Internet which helps to improve in communications technologies to collect the info about the latest trends from customer to the retailer which actually helps H&M to respond faster to the latest market impulses (Nenni, Giustiniano & Pirolo, 2013). The R&D departments are working on to replace the solvent based polyurethane with water-based alternatives by using the advance technology which helps to reduce the
The company have launch the first clothing made by 21% of recycled material which using the old unwanted garment. From here , it actually reduce the wastage of textile which had been recycled and charity purpose . The unforeseenable events such as tsunamis or floods which actually will harmed the growth of the cotton and also the maintenance of manufacturing facilities. The company are aware of the environment risks and start to prepare the production plants and workers to cope in the future so the company have shifted the production to developing countries in Asia (Bhardwaj & Fairhurst, 2010; Johansson, 2010; Joy, Sherry, Venkatesh, Wang & Chan, 2012). For example , the cost of growing non-organic cotton is much more lower than the organic cotton and it actually needs a huge amount of chemicals and water which can actually harm our human body and creating long lasting impact to our environment (Déri, 2013) . The company goal in year 2020 is using 100% sustainable sources of the cotton as for now , the company is using 15.9% of the sustainable sources of the cotton. Furthermore , in Swedish , those existing leather products will be phased out and organic leather and vegetable tanned will be introduced and the used