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Pestle Analysis

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Pestle Analysis
4.1 Macro Environment
The General Environment is analyzed with opportunities and threats identified in PESTEL model of macro environment. This framework primarily involves the following two areas 1. The environmental factors affecting the organization
2. The important factors relevant in the present context and in the years to come. Please see Table 4.1 with the summarized key Macro Environment analysis
Table 4.1 General Environment Analysis PESTLE elements | Description of framework elements | Identification of opportunities (O) and threats (T) | Political | * Government stability * Political values and beliefs shaping policies * Regulations towards trade and global business * Taxation policies | O TO/TT | Economic | * GNP trends * Interest rates/ savings rates * Money supply * Inflation rates * Unemployment * Disposable income * Business cycles * Trade deficit/surplus | O/TO/ TO/T T TO/ TOO/T | Social | * Population demographics * Social mobility * Lifestyle changes * Attitude to work and leisure * Education-spread or erosion of standards * Health and fitness awareness * Multiple income families | O/TOOOO/TOO | Technology | * Biotechnology * Process innovation * Digital revolution * Government spending on research * Govt and industry focus on technological efforts * New discoveries/development * Speed of technology transfer | OOOT/O OOO | Legal | * Employment law * Health and safety * Product safety * Food laws * Environmental laws | T TO TOO | Environment | * Disposal of hazardous materials * Designs and procurement of green materials and chemicals. | O/T T/O |
Adapted from: Sam Mishra, Strategic Case Analysis: Business Concepts, Strategy Frameworks, and Solved Cases as Socratic Dialogues, Booksurge Llc, 2007, Created by:__________________________

4.1.1 Political * Government stability is reflected as the recently changed democratic government

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