Seminar 5
Seminar Topic 5: Analysing the external environment
PESTEL analysis
Political
Before entering the country, politic of the country should be analyze by the breweries company. The governments of the country are mostly campaigning against drunk driving and there are many policies made for the drunks. It has shifted beer sales to retail which is dominated mainly by large supermarket chains.
Economic
The economic is one of the important factors to be analyzed by the breweries. The good or bad of the economy of the country will directly affect the sales of the breweries in the particular country. Besides that, there may be will have tax included in the import of alcohol drinks in the policy of the country. Thus, the company shall analyses on this and makes it clear about the tax policy of the country to make sure that the company can enjoy the profit whilst selling the alcohol drinks in a satisfying price. There will be merger, acquisition, licensing and strategic alliances of beer companies due to over capacity within beer industry.
Social
The company need to done some research on the health issue of the particular country before entering the country’s breweries market. The governments nowadays are putting effort in promoting the negative effects of drinking and encourage the people to quit drinking. Due to the changes of lifestyles, people are becoming more health conscious and more active in leisure and recreation. The government campaigns show the negative impacts of excessive drinking which cause of health and fitness problems.
Technological
The breweries technologic are become more advanced nowadays. This had enhanced the beer manufacturing cycle. However the people are very concern about the ingredient of the beer as this will affect their health. Thus the company can use the technology to showing out the ingredients use to make the beer and also make sure that there are no any illegal ingredient added into the beer using the advanced technology.
PESTEL analysis
Political
Before entering the country, politic of the country should be analyze by the breweries company. The governments of the country are mostly campaigning against drunk driving and there are many policies made for the drunks. It has shifted beer sales to retail which is dominated mainly by large supermarket chains.
Economic
The economic is one of the important factors to be analyzed by the breweries. The good or bad of the economy of the country will directly affect the sales of the breweries in the particular country. Besides that, there may be will have tax included in the import of alcohol drinks in the policy of the country. Thus, the company shall analyses on this and makes it clear about the tax policy of the country to make sure that the company can enjoy the profit whilst selling the alcohol drinks in a satisfying price. There will be merger, acquisition, licensing and strategic alliances of beer companies due to over capacity within beer industry.
Social
The company need to done some research on the health issue of the particular country before entering the country’s breweries market. The governments nowadays are putting effort in promoting the negative effects of drinking and encourage the people to quit drinking. Due to the changes of lifestyles, people are becoming more health conscious and more active in leisure and recreation. The government campaigns show the negative impacts of excessive drinking which cause of health and fitness problems.
Technological
The breweries technologic are become more advanced nowadays. This had enhanced the beer manufacturing cycle. However the people are very concern about the ingredient of the beer as this will affect their health. Thus the company can use the technology to showing out the ingredients use to make the beer and also make sure that there are no any illegal ingredient added into the beer using the advanced technology.