Fast Zara, Fast Fashion

For the past hundred years the need for clothing increased since the number of people of keeps growing. As the years go on, producers must find new ways to produce more clothing to make more profit and keep up with demand. Before people would either have to ride all the way into town to have tailors make their clothes, or have someone at home make the clothing for them. But as the years progressed, methods have changed dramatically.

PESTEL analysis is widely used to better understand the external environment of the company. The acronym PESTEL stands for political, economic, sociocultural, technological, environmental, and legal factors. PESTEL analysis helps managers better understand the threats and opportunities a company faces.

It is also important to consider the MACRO environment whilst planning for future areas for development as these factors can have an impact on possible training. PESTLE is a useful tool to enable us to do this. PESTLE assesses the market, including competitors, from the standpoint of a particular proposition or a business. PESTLE becomes more useful and relevant the larger and more complex the business or proposition, but even for a very small local business a PESTLE analysis can still throw up one or two very significant issues that might otherwise be missed.

Pestel analysis consists of environmental factors that lead to the understanding weaknesses and strengths of the organization in an attempt to influence the organization’s success. The macro-environmental factors are political, economic, social, technological, environment and legal.

Macro environment comprises external forces that organisation cannot directly control, instead organisation need to manage their macro environment in a way that benefits them ("The Macro Environment & Pest Analysis", 2016). The PESTLE analysis is the most widely recognized approach for considering the external business environment (Gupta, 2013). PESTLE analysis stands for Political, Economic, Social, and Technological, Legal and environmental analysis and describe a framework of macro environmental factors utilized as a part of the environmental scanning component of strategic management. Generally, all the PESTLE factors might not important for all types of industry its depends up industry nature or size. This PESTLE analysis is based on Accor Hotels in Australia which is a famous and globally recognise hospitality brand.

Macro environment is crucial to the development of a company. All the external factors can have huge positive or negative influences on Travis Perkins plc, therefore a better understanding of the environment of the company is of supreme significance (Peng & Nunes, 2007). Among all the analysis tools, PEST analysis is one of the most effective tools to analyze the external environment of a company (Riley, 2012). This part will demonstrate PESTLE analysis of Travis Perkins plc below. The result of PESTLE analysis can be demonstrated in the following table 1.

The PESTLE analysis can be used to assess the strategic relevance of the six principal components of the macro-environmental: political, economic, social, technological, environmental, and legal forces. It can be used as a tool by companies to better understand of the macro- environment they are operating in.

PEST analysis is an imperative strategy tool used for a company, mainly to oversee and assists in project management. PEST analysis stands for the political, economic, social and technological factors of an organization. This tool is used as an aspect of an organization's competitive strategy to analyze and assess the critical external factors that may positively or negatively impact the organization (Kadlubek, 2016). When a PEST analysis is performed, the external factors are analyzed and monitor the external marketing environment. A company may consist of several external factors that can bolster or impede the development of an organization; therefore, it is beneficial and more productive to subdivide the external analysis into more feasible segments (Frederick, Agnes and John, 2011).

With the unstoppable trend of globalisation, it becomes extremely significant for international businesses to have a thorough understanding of different cultures. Hofstede (1980, pp. 21-23) defines culture as ‘the collective programming of the mind distinguishing the members of one group or category of people from another’. This essay examines Hofstede’s cultural framework and suggests that Hofstede’s cultural framework is an outstanding and authoritative tool to analyze culture differences. In this essay, cultural frameworks will be discussed firstly, following by a discussion of my cultural scores and background. Finally, recommendations on cross-cultural management between China and Australia will be provided.

Quick response of Zara leads it to be successful in the fashion clothing industry. Zara adopts international strategy for its operation. With vertical integration, it benefits Zara in cost aspect, however, it involves some risks. Due to our anaylysis on Zara’s operations, some of the recommendations are made to facilitate its further improvements.

The environment is like a double-edged sword, providing companies opportunities but threats as well. Therefore, in an increasingly hostile marketplace, a systematic and careful environmental analysis is supposed to be considered by companies (Johnson et al, 2011). The macro-environment of a company can be analysed by the framework of PESTEL, which includes six categories: political, economic, social, technological, environmental, and legal (Johnson et al, 2011, Appendix A ).

PESTLE refers to all political, economic, social, technology, legal and environmental factors affecting any industry. The purpose of PESTLE analysis is to study the external environment factors facing any industry

External analysis of general environment will be done using PESTEL which refers to how the political, economic, social, technological, environmental and legal environment affects an organization. Below will be a diagram of PESTEL, followed by a brief explanation of each factor and their examples.

With the development of the global economy, the interaction between environment and companies became more important, therefore, throughout macro environment analysis, which includes political, economic, social, environment, legal and technology (PESTEL) that provides an indispensable part in the comprehensive list to understand opportunities and threats on the businesses (Searle and Barbuto, 2010). In this industry, political, economy and technology would mainly influence the strategies, thus

PESTLE (Political, Economic, Social, Technology, Environment, and Legal) Analysis is used in the environmental scanning of Sun Life’s presence in Malaysia.