Presentation on:“Comparative General Country PESTLE Analyses of USA and Pakistan”

Presented by:Imran Ahmed; Roll no. Audience:Nabeela; Saad Zafar Teacher In Charge: Ahsan Jaffry Date of presentation:

Presentation’s Content:1. Brief Overview of PESTEL ANALYSIS Its 6 component and their features. Importance and uses of PESTLE Analysis

in International Marketing2. Comparative PESTLE analysis of America and Pakistan Political Factors in America vs. in

Pakistan Economical Factors in America vs. in

Pakistan Socio-Cultural Factors in America vs.

in Pakistan Technological Factors in America vs.

in Pakistan Environmental Factors in America vs.

in Pakistan Legal Factors in America vs. in

Pakistan

Objective of The Presentation:

To illustrate the general effects and difference of Political, Economical, social, technological, environmental and legal factors in American and Pakistani Market via PEST Analysis.

Brief Overview of PESTEL Analysis

Every organization considers its environment before beginning the marketing process.The organization's marketing environment is made up of:

1. The internal environment e.g. staff (or internal customers), office technology, wages and finance, etc.

2. The micro-environment e.g. our external customers, agents and distributors, suppliers, our competitors, etc.

3. The macro-environment e.g. Political (and legal) forces, Economic forces, Sociocultural forces, and Technological forces.

PESTEL ANALYSIS:

PESTLE analysis is in effect an audit of an organization's Macro environmental influences with the purpose of using this information to guide strategic decision-making. The assumption is that if the organization is able to audit its current environment and assess potential changes, it will be better placed than its competitors to respond to changes.

PESTLE is an acronym standing for - Political, Economic, Sociological, Technological, Legal, and Environmental.

Importance and uses of PESTEL Analysis:

• Effective use of PEST Analysis ensures that the direction of one’s business is aligned positively with the forces of change that are affecting world.

• Good use of PEST Analysis helps one avoid taking action that is condemned to failure for reasons beyond

• one’s control.• PEST is useful when one starts operating in a new

country or region. • Use of PEST Analysis helps one break free of

unconscious assumptions, and helps one quickly adapt to the realities of the new environment

FeaturesMajor

Political Factors:• Government type

& policy• Funding, Grants,

Initiative

Economic Factors: Inflation and

interest rates Labor and Energy

Costs

Social Factors: Population Education Religion Lifestyle Culture Fashion

Technological Factors: Emerging technology Internet Information and

Communication

Environmental Factors: Weather, green and

ethical Issues Pollution, waste,

recycling

Legal Factors: Regulations and

Standards Employment Laws

1. Stability of the government 2. Government type (dictatorship,

democratic, monarchy, etc.) 3. Economic policy of the government 4. Trade policy 5. Diplomatic events in surrounding

countries Furthermore, political context can change for the foreseeable future.

Political Factors in America vs. in Pakistan

Unemployment and labor supply Stage of business cycle. Current and projected economic

growth, inflation and interest rates.

Economic Factors in America vs. in Pakistan

Labor costs. Levels of disposable income and income distribution. Impact of globalization. Likely changes in the economic environment

Social Factors in America vs. in Pakistan Population growth rate and age

profile. Population health, education and

social mobility, and attitudes to these. Population employment patterns, job market freedom and attitudes to work. Press attitudes, public opinion, social

attitudes and social taboos.

Lifestyle choices and attitudes to these. Socio-cultural changes.

Technological Factors in America vs. in Pakistan

Impact of emerging technologies. Impact of Internet, reduction in

communications costs and increased remote working.

Research & Development activity.

Impact of technology transfer

Environmental Factors in America vs. in Pakistan

Water Resources The effect of climate change CO2 emissions Understanding water and energy Sustainable energy Recycling Cost of waste on the environment The rate of extinction of species Depleting natural resources – water, fish

and other resources

Legal Factors in America vs. in Pakistan

Current LegislationEmployment LawCourt Matters

We hope this presentation helped

you learn the addressed topics.