Pestel Framework

The PEST analysis helps to explain the critical factors in the organization's external environment. The factors include political, economic, social and technological. For Myer, these forces combine with the internal factors, and other external factors like competition. The Australian consumer goods retail market is worth $121 billion (IBISWorld, 2012) but is heavily fragmented. Myer is the third-largest company in the industry behind David Jones and Harvey Norman, but with $3.158 billion in sales holds just 2.6% market share (Myer 2011 Annual Report). This implies that competition is only one of many factors that can contribute to the company's results. This PEST analysis will help to identify the other major factors.

While analyzing the Ice-Fili case study, I determined that all six parts of the general external environment are applicable. With the economic crisis and the dissolution of the Soviet Union an open market economy emerged. An open-market system meant that the government had little to do with the regulation of the market which created issues because companies just like Ice-Fili could not patent or trademark some of their best-selling ice cream creations. Companies took advantage of this and put their own twist on some of the highly profitable Ice Fili ice creams like the Lakomka.

Madagascar is among the countries that are termed as least developed in the world today (United Nations, 2001). The implementation of trade agreement based on agriculture sector led to sluggishness in the various market dynamics of the available grains. In addition to this, the quantity of grains was declining and as a consequence of this, the revenues generated declined at an alarming rate. The country was therefore obliged to opt for food import. This step was taken as a result of reduction in the amount of aid granted to the government, and subsequent subsidization of exports. Since Madagascar could not afford to offer export subsidization, the country’s exports were highly affected by the established policies such as non-tariff

Globalization strategies have been an issue for any organization that intends to increase its international presence. Free Range Foods has decided to grow operations in France, the United Kingdom, and other regions throughout the globe. The recommended strategies Free Range Foods should consider utilizing in order to strengthen its position in the international market are 1) Merger and Acquisition/ Takeover and 2) Strategic Alliances. Both strategies are effective in obtaining an entry into the

In addition, advertising feeds from mob mentality, convincing people a product will change their lives by deeming it fashionable or sophisticated. It bypasses logical thinking to take control of how people view themselves and their “need for esteem. People want and need to be respected and we need to feel good about ourselves. And this is where much advertising lives, often because we are selling products that people really do not need. L’Oreal’s ‘Because you’re worth it’ is the perfect example” (Madigan 83). For this reason, expectations of a person are manipulated to fit the wants of the industry to sell products. These people are affected since they feel as if they have no choice in what to wear, how their body should appear to others, and which brands they buy. It all comes down to the need to be apart of something bigger, instead of sticking out from the crowd.

As Jhally explained in her “Image Based Culture” (Jhally) article, today’s marketplace economy has the biggest impact on the tools that constitute today’s commercial society. He was arguing that today’s advertisement had became a subtle force in our society, stresses consumerism by associating the procurement of commodities with happiness. However, the reviews indicates that

3. Sociocultural: “negative customer perceptions regarding the safety of the products we sell could cause us to lose market share to our competitors.” Page 10.

The relevant external environment segments to this case are technology, legal & political, cultural and demographics. The Russian ice cream industry was behind in equipment and technology use. Their production techniques, ingredients used, and packaging primarily. It was estimated that most Russian firms were 40 to 60 years behind the world’s technology level. Ice Fili alone invested millions of dollars to import new equipment. By the late 90’s 90% of the equipment used by Russian ice cream manufactures to produce and sell was imported, which created huge costs to the firms. With the introducing of refrigeration this opened up new opportunities for the Russian ice cream industry to expand, modernize, and change the way they produce their products.

1)The public is becoming more aware of how marketers’ activities affect the welfare of consumers and society. As a result, more firms are working to

Introduction: For the subject choosing a strategy to overcome effects of EU’s banana policy, I have gone through the whole issue of EU’s banana policy and its effects on the banana business of Latin America in general and Chiquita Brands International in particular. I have also analyzed the way the whole issue has been approached by the company and tried to formulate a plan that may prove successful for the company. Since the present problem is a serious nature threatening the existence of a big player in the banana market, I have tried to go back to history of the company of highly political nature of the international policy making in this trade. I have tried to understand the role of

The spillover effects that hit the consumer market eventually accelerate the process of positioning the product image in their minds.

This paper focuses on global business strategy of The Coca-Cola Company, who is the leader in the beverage industry as well as, the world?s leading soft drink maker that operates in more than 200 countries and owns or licenses 400 brands of nonalcoholic beverages. The paper will concentrate on the PESTEL analysis of the organization focusing on the external factors of the business and the environment where it operates. All of the following environments will be discusses in the research; Political, Economic, Sociological, Technological, Legal, and Environmental as they the changes in the market segment. Within this paper it will discuss some of thr

Consumerism and the effects of branding affect people’s lives. Branding allows consumers to easily identify which products are made by which companies. Yet, the brands create more of an influence on consumer’s lifestyles and in the end decide what kind of consumer that person is. Branding creates a blurred divide in our society. Consumers who are ore likely to purchase the branded products that are associated with better quality and higher prices are put into their own category bucket versus the consumers who choose the cheaper priced products that are made with less quality. When it comes to deciding who you are based off of the products and brands that you associate yourself with, it creates a capital divide in our society. Consumers than associate brands with personal feelings based upon whether or not they associate themselves with those brands. Lives of consumers are heavily influenced. Their lives are worse off when they feel the need to ‘keep up’ with brands in order to feel as if they are portraying themselves in the best light. In a way, this is similar to how all of branding began with livestock. Consumers want to physically brand themselves with specific brands by wearing logos and identifying with a brand. They might not be burning the brands directly onto their skin but they are burning the brands onto their clothes and burning holes in their wallets to keep up with society standards about brands.

An over-communicated society is horrible since it harm brands or benefits brands. The new way of advertising is to be selective to be effective. I have come to an understanding that by targeting a select group of people it will help expand

This report examines provides a comprehensive summary of the threats and opportunities for Fonterra to expand its operations into a new market within Japan.