PEST Analysis And Pest Analysis Of Perodua

1. Macro environment analysis: the major externals which affect company’s decision making, marketing strategy and performance. It includes:

External environmental factors are the macro environment affecting a business; they are factors outside the company and which they have no control over (Kotler & Armstrong, n.d.) these external factors bring about impacts to the company thus a company should always be prepared to react.

An organization’s macroenvironment consists of nonspecific aspects in the organization’s surrounding that have the potential to affect the organization’s strategies. Macroenvironmental variables include

Macro environment or macro forces consists of the larger societal factors that have the potential to affect an organization’s strategies. According to Phillip Kotler, these variables include demographic, economic, natural, technological, political, and cultural outside forces. (“Josbd”, n.d, para. 7)

Macro environment are the external and uncontrollable factors that influence an organization’s decision making and affects its performance and strategies.

They has been pioneer in car industry and in the following years will be the same and focused on coming out on top in option fuel propulsion.They need to be driving merchant inside of the

PEST is an acronym used for companies with in the political, economic, social and technological views. PEST allows companies to view and observe certain areas that might have been overlooked. The company I will be discussing the PEST analysis is Target. Target is a large scale company and is constantly changing in the industry. The political views of Target is that they must have an unbreakable bond with China due to majority of its products coming from that country. They must be aware and stray away from any conflicts because it can create a negative affect in the operation of Target. Also the company is altered by taxation, tariffs, cost, and trade restrictions especially when they're trying to broden outside the United States. The economic

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.

* Demographics: The demographics of a nation can have a major impact on organisations goals as people/customers are the main reason for this service. Australia has a

Identifying influencing factors of a company’s macro-environment helps in the strategic development and management within a company. The macro-environment outlines an industry and the competitive environment as seen in figure 3.1, (Gamble, Peteraf, Thompson, 39). Within the macro-environment there are the political factors, economic conditions, sociocultural forces, technological factors, environment forces, and legal/regulatory factors. All of these factors blanket the habitat an industry and its competition thrive in. Inside the industry and competitive environment there are five factors that influence an individual company. The five factors are suppliers, rival firms, new entrants, buyers, and substitute products. The biggest impact on a company are these five factors. For example, Under Armour focuses on their industry and competitive environment to survive and grow. Their strategy to win over the market share from Nike and Adidas consists of expanding a stable and original brand within record time, taking an innovative approach to their product line-up and brand-name appeal where the market seemed to be barren, and lastly, the company enters in the foreign market early on to establish its brand and influence markets outside of the US.

However, as mentioned above, BYD Auto reduces its cost to a large extent by supplying itself the car components. Apart from its electric automobiles, the traditional cars are set at a very low price. Therefore, although being focused on differentiation as its primary strategy, BYD Auto also employs a cost leadership strategy

One of the problems faced by Malaysian Automotive Industry is reputation. For many years Proton car is always being branded as a cheap and below par car manufacturer. Due to this unwanted reputation, consumers are sceptical about Malaysian cars where it does not guarantee any assurance. Since Proton was formed in 1985, Proton managed to breakthrough in domestic and international market as an affordable car. But over the years, Proton has compete aggressively with other automotive manufacturers due to localization of many foreign manufacturers in Malaysia. Due to the localization, foreign cars has been in the market in lower prices. This makes Proton as a car that does not have resale value because the pricing of Malaysian cars depreciates rapidly each year.

UMW Holdings Berhad is began from humble automotive repair shop by Soh Chia Yee Soh is called “United Motor Works”. From the repair shop, UMW lighting spark into the leading in multi-million dollar combination of various industrial that is the UMW Group. Nowadays, UMW Group has various and worldwide interest in the Automotive, Equipment, Manufacturing and Engineering and Oil and Gas segments. We stand tall as one of Malaysia's first open recorded organizations, while constantly expanding on the qualities of their core business to tap opportunities in the universal coliseum. The UMW Group's achieve now stretches out to Singapore, Indonesia, Thailand, Myanmar, Vietnam, Papua New Guinea, Australia, Taiwan, China, India, Oman and Turkmenistan.

It has made its name in the global market and has given a good competition to other companies in automobile sector.

Macro environment consist of those major external and uncontrollable factors that influence an organization's decision making, and affect its performance and strategies.