Pest Analysis About the American Manufacturing Industry

The use of PEST analysis can be seen effective for business such as their strategic planning, marketing, and product development. Furthermore, PEST ensures that company`s performance is aligned positively with the powerful forces of change that are affecting business environment (Porter, 1985). PEST have four factors which are Political, Economic, Social, and Technological. However, we use these factors to check how they interplay to the business or the activity of an organization.Using PEST analysis is important when a company decided to enter its business operation into new markets and new countries. In this case, using PEST will help to adapt effectively to the realities of the new environment and to make contingency plans for threats by preparing business and strategic plans (Byars, 1991; Cooper, 2000).

installing solar panels are changing tastes and preferences of consumer. As Energy Sage (n.d.) stated,

Considering the international market would open up additional opportunity to expand your target market. The countries that the United States trade the most with still have demand for solar energy.

Figure 1 shows free trade in Germany where solar panels are produced domestically and imported. When there is no foreign trade, German producers produce at 0Qe and price Pe. As foreign trade takes place, German consumers can import solar panels, possibly from China, as much as they want at the price of Pw.

With bringing your factories to foreign countries you get cheaper labor land and can avoid many taxes.

The United States is no longer a leader for manufacturing and China is currently in their ‘Industrial Revolution’ economy. Manufacturing jobs have been exported overseas, that has decline in the leverage to unionize labor (Uchitelle, 2018). The auto industry alone has been drastically hit, with the 2009’s “too big to fail” stimulus package to save the industry.

One of the key attractions to solar energy is how fits in with a growing drift to act more environmentally sensibility. It is achieves by three ways. For one it’s renewable, unlike other popular forms of energy such as fossil fuel, solar energy won’t run out. Second, due to being renewable it’s also maintainable. As other forms of energy stop to exist, they can pose jeopardy for future generations that might depend on those types of power. Finally, solar energy doesn’t generate the problems of pollution that coal and fossil fuel energy do. Savings on monthly energy bills with financing assisting to offset the original cost, the monthly savings from having solar power can actually add up over time. This is gathering made possible because you can ‘sell back’ extra solar energy that decreases your total power bill, in some cases down to $0. Availability many areas around the country are major places for harnessing the sun’s energy. This becomes more deceptive as new technologies advance the productivity of collecting solar power. Maintenance is very simple, because solar panels don’t involve any moving parts; they are moderately maintenance-free. All that’s usually needed is a simple cleaning a few times a year. Cost Perhaps the biggest element that stops people from converting to solar power is the large upfront cost associated with it. While it’s true that installing a solar power system in your home isn’t cheap, Existence solar panel can help comfort the initial cost

The federal government should work on promoting either nuclear or solar energy. Energy is important for survival on a daily basis. In fact, the development of any nation depends on the long-term availability and increase of clean and safe energy that also supports the environment. Currently, no energy source can be said to be sufficiently capable of meeting future needs that a nation requires. It is important therefore to promote any particular type of renewable energy. Promoting and enhancing solar energy would be a better move to take. It is better for the environment if the federal government work on improving solar energy usage. Installation of solar panels by Americans continues to increase with each passing day. Despite this positive progress, this avenue of power is not fully exploited because of lack of infrastructure to store solar energy. Solar energy was ranked as the third electricity-producing source after natural gas and wind energy thus accounting for fourteen percent of the total electricity produced. This significant contribution of the solar energy shows that when properly exploited, solar energy can be a major source of electricity for the country. However, there is need for the issues surrounding its maximum exploitation to be addressed. The government should subsidize infrastructure. The most important infrastructure that the federal government should look into includes connection to the power grid, conversion of the solar

“The United States has the highest corporate tax rate of the 34 developed, free-market nations that make up the Organization for Economic Cooperation and Development (OECD). The marginal corporate tax rate in the United States is 35% at the federal level… according to the 2013 OECD Tax Database. The global average is much lower, at 25%” (Fontinelle, 2014). Even though there are ways for businesses to decrease or even avoid these payments, this high figure deters foreign investors from considering the United States for business and sends them looking in more favorable countries like Canada or Ireland. Adding to pushing away potential foreign investors, U.S. firms flee to those tax favorable places to avoid it. “When these companies move their headquarters or create foreign subsidiaries, jobs and profits move overseas” (Fontinelle,

Cities today are dominated by business and industrial services rather than by manufacturing, creating a growing

I will first talk about the purpose of having operations done in another country. American companies can decide to move their companies overseas for a few reasons. One reason is that they can hire workers at low wages, for example, in China they can pay as little as 30 cents and hour whereas here they would have to pay employees minimum wage.1 Another reason is because the company would not have to pay employee benefits, such as vacation time sick days, and health insurance.1 A third reason would be that they would not have to follow safety and environmental regulations.1 The last reason would be that they would not have to pay foreign taxes

Higher labor costs and allocation of factory space are excellent indications that manufacturing output has indeed gone up within the United States. However, I would not consider it a “revolution” by any means because most of the data suggests this is only a gradual upward trend and hasn’t changed any aspects of business. Although, if this upward trend continues, we can expect more job openings, greater use of factory space, and more “made in the US” products floating up around the markets of the world. Luckily, accountants aren’t paid to forecast so my essay ends here.

In contrast, some believe that renewable energy is a key factor involved in helping the economy to grow. Many jobs are created in the manufacturing and running of renewable energy plants. The renewable energy and energy efficiency technologies created 8.5 million new jobs and $970 billion in revenue in the year 2006 (Langwith, “Renewable Energy is Economically”). The American Solar Energy Society says by 2030 it could generate up to $4.5 trillion in revenue for the U.S and create 40 million new jobs. This would represent one in every four jobs (Langwith, “Renewable Energy is Economically”). This shows how vital it is to get renewable energy companies in the U.S. It is important to build a stable economy again and do it all while helping the environment.

Incentives (governmental regulations require utilities to purchase renewable electricity at higher rates), can only help the business to become established in the market, so are important in the short and mid-term only. Because European incentives diminish over time, in the long term all PV technologies will compete based on price and performance therefore cost

Since 2001, NEXT has created the next day delivery service on most home shopping orders. Currently there are more than 2 million customers in the UK and over 70% of NEXT 's home shopping business is now transacted online (nextplc.co.uk, 2011). Additionally, in October 2007, Meadow Hall in Sheffield became one of the first concept stores NEXT had fitted out in the new style that is now commonplace throughout its UK outlets (careers.next.co.uk). These events highlight the firm’s consideration of its customers and ability to diversify the service to satisfy customers’ needs.