Pest analysis

Competitive Environment



In this section we will examine the competitive environment where we will be implementing our strategic plan. It is essential to take into account the external environment as it will enable us to identify potential opportunities and threats which may arise from the changing environment.

The Macroenvironment consists of a number of broader forces that affect not only the subject but also the other actors in the microenvironment. These can be grouped under economic, social, legal physical and technological forces. These shape the character of the opportunities and threats facing the subject yet are largely uncontrollable. (Jobber, 2001)


The PEST analysis:
In general, the abbreviation PEST, sometimes reordered as "STEP", is a description of a framework for the analysis of the macro-environmental factors. Each letter of the world PEST stands for something as shown in the following graph:



Political Factors:
To many companies, domestic politic...