Analysis Of Pest Analysis

P.E.S.T. Analysis

When deciding to engage in internationalisation, it is imperative a firm find the right country to expand operations to. Aside from a firms’ internal resources and industry factors, there are several other Marco-economic factors that can have a profound impact on the performance of a firm. Situations such as new ventures or product launch ideas, these factors need to be carefully analysed to determine how big their role in the firm’s success would be. This is where a firm might employ a “PEST” analysis. A “PEST” analysis test is one of the most popular analytical tools for assessing external macro-economic factors related to a situation. “PEST” is an acronym for “Political”, “Economic”, “Social” and “Technological”. A “PEST”

The main issues addressed under this heading are political stability, tax guidelines, trade regulations, safety regulations, and employment laws. The “Economic” aspect refers to examining the economic issues that are bound to have an impact on the company. This would include factors like inflation, interest rates, economic growth, the unemployment rate and both fiscal as well as monetary policies. The “Social” factor relates to the business analysing the socio-economic environment of its market via elements like customer demographics, cultural limitations, lifestyle attitude and education. With these a business can understand how consumer needs are shaped and what they look for in the market. The final aspect of “PEST”, “Technological” aspect refers to how technology can either positively or negatively impact the introduction of a product or service into a marketplace is assessed here. These factors include technological advancements, lifecycle of technologies, the role of the internet, and the spending on technology research by the government. An extension onto the “PEST” analysis can incorporate legal and environmental conditions, leading to “PESTLE”. “Legal” conditions include discrimination law, health and safety law, consumer protection law as well as

Dubai is an open and liberal city, in the terms that there was no strict policy on woman covering heads or bodies, on top of this drinking alcohol is not prohibited unlike Saudi Arabia and other gulf countries. This made UAE the ideal location for MTV to base its Arab brand as they would be the country most open to American culture, in an area which would for the most part have quite a negative view of the US (Kasi