Taking a Look at the Macro Environment

Deregulation of industries has been an important part of the microeconomic reform policies for the Australian economy. For example in the agricultural sector, marketing boards which were often the only buyer and seller of farm output have been dismantled. In the wheat, egg and dairy industries deregulation has allowed a market economy, free of excessive central control, improve efficiencies and competitiveness by forcing inefficient operators out of the markets and the remaining operators to adopt technological change in order to survive. Deregulation has also been introduced in the financial sector, the transport industry and in the telecommunications industry. In the case of the telecommunications industry which was once dominated by one monopoly provider, telecom (Telstra) the market was opened up to Optus and Vodafone before being opened up to full competition.

The PESTLE anaylsis consists of six factors which are political, economic, social, technological, legal and environmental.

Political factors refer to the legal activities and political rules that may influence the business in some way. However, ASDA will continue to face many changing in the business for better or maybe worse when it comes to changes in government laws, for example, taxation and unemployment. The government is encouraging business to create or provide different jobs for the consumer this may affect or puts pressure on ASDA as they have to meet the all the government rules and regulation while continues to run the business according to the law (Worthington & Britton

In PESTEL framework, the external environment is classified into six broad categories: Political, Economic, Social,

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

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.

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.

The micro environment affects the organization straight. Its most closely connected to the business .micro environment mainly reflects by Strengths, Weakness Opportunities and Threats (SWOT).

A macro business environment is inclusive all elements, that are out of the business’ control, that has direct and relative influence on strategic planning and goals. The microenvironment, includes current and any changes in local, state, federal and international laws and regulations. Laws and regulations literally dictate how a business regardless, of its sector, the guidelines of its operations. The state of the economy, consumer market and spending trends are also a major factor in the macro environment equation. The purchasing power, of the consumer, is vital for any business sector to succeed. In today’s technology driven society, it is utmost importance, that a business is, within the established perimeters of technology for their industry, or on the cusp of the cutting edge of technology. If a business has effective and efficient technology, across the board, in force, it can potentially cut costs and drive consumers to them. A business’ demographics

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.

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 ).

Macro environment are the large forces which not only affects a company but ratter the whole industry itself. The macro-environment of Coca Cola Company consist of sociological, technical, economic, environment, political and cultural changes.

A macro is an automated data sequence that imitates keystrokes or mouse actions. Macros are typically used to replace a repetitive series of keyboard and mouse actions and are common in spreadsheet and word processing applications like MS Excel and MS Word. The file extension of a macro is commonly known as MAC. (Beal)The concept of macros is well-known among “Massively Multiplayer Online Role-Playing Games” and “Search Engine Optimization” specialists. (Vermaat) A macro in computer science is either a rule or a pattern. It is specific to how a certain input sequence should be mapped in a replacement output sequence according to a defined procedure. In a mapping process, the macro transforms its’ use into a specific sequence also known as the asmacro expansion. (Vermaat) When writing a macro, a facility may be provided as part of a software application or as a part of as a programming language. In a computer program macro are used to make tasks using the application less boring or in other words less repetitive. In the case that they will always allow a programmer to enable code reuse or even to design specific domain languages.

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