1.5 STEEPLE Analysis

Question 1

STEEPLE is used to ___

Answer 1

evaluate the firm’s external environment – opportunities and threats. CANNOT be used for internal strengths and weaknesses

Question 2

Social

Answer 2

Social relates to the way people live and what they believe and value. Such as: religion, culture, family life, demographics, healthcare

Question 3

Technological

Answer 3

Increased use of technology (opening the door to e-commerce), automation leading to lower labour costs and higher efficiency, more data for big corporations to use to tailor products to consumers

Question 4

Economic

Answer 4

Includes: Exchange rates, Interest rates, Purchasing power, Investment opportunities, Increased inflation, Increased labour costs, City’s economic outlook, Labour costs, Stage of business cycle (boom, recession, trough, recovery)

Question 5

Environmental

Answer 5

Availability of fresh water, Climate change, recycle or dispose of the growing amount of solid waste, necessity to protect species and their habitats

Question 6

Political

Answer 6

Government policy, taxation, foreign trade and restrictions, political stability.

Question 7

Legal

Answer 7

Regulations, Legislation, Using lobbyists to lobby for what you want. Legal factors: Access to materials, Quotas, Resources, Taxation, Safety laws, Workplace health, Consumer protection legislation

Question 8

Ethical

Answer 8

Satisfying customer needs, Fair trade, Environmentally friendly, Corruption, Fair labour, Pricing policies, Healthy (if food)