Macro-environmental Analysis Flashcards
Identify the kinds of political factors that should be considered in a political, economic, social and technological analysis (PEST analysis) of a macro-environment.
Political stability; Tax policy; Labor laws; Environmental laws; International trade attitudes and restrictions.
Identify the kinds of economic factors that should be considered in a political, economic, social and technological analysis (PEST analysis) of a macro-environment.
Economic structure, stability and growth rate;
Interest rate;
Inflation rate;
Currency exchange rates.
Identify the kinds of social factors that should be considered in a political, economic, social and technological analysis (PEST analysis) of a macro-environment.
Population growth rate;
Age distribution;
Educational attainment and career attitudes;
Health and safety characteristics.
Identify the kinds of factors that should be considered in an extended version of a PEST analysis or macro-environmental analysis.
Political factors; Economic factors; Social factors; Technology factors; Ecological/Environmental factors; Legal factors.
Identify the kinds of technology factors that should be considered in a political, economic, social and technological analysis (PEST analysis) of a macro-environment.
Level of research and development activity;
State of automation capability;
Level of technology “savvy;”
Rate of technology change.
___ ___ is an assessment of the Political, Economic, Social and Technological elements of a macro-environment.
PEST analysis
What is the purpose of a PEST analysis?
The purpose is to provide an understanding of those elements of an environment, typically a country or region, in which a firm operates or is considering operating.
In summary, in its basic form, PEST analysis considers ?
Political factors;
Economic factors;
Social factors;
Technology factors;
Identify the kinds of ecological/environmental factors that should be considered in an extended version of a PEST analysis or macro-environmental analysis.
i. Weather;
ii. Climate and climate change;
iii. Water and air quality.
Identify the kinds of legal factors that should be considered in an extended version of a PEST analysis or macro-environmental analysis.
i. Discrimination law;
ii. Consumer law;
iii. Employment law;
iv. Anti-trust law;
v. Health and safety law.
STEER, in another variation of the PEST analysis, which identifies the same kinds of factors as other macro-environmental models - ?
Socio-cultural, Technological, Economic, Ecological, and Regulator factors.
The importance of the factors assessed in PEST analysis (or a variation thereof) will be ___ to each analysis;
unique
PEST, or comparable analysis, is particularly important in considering the establishment of ___ ___ __ ___ ___ ___.
operations in a new foreign location
The outcome of a PEST-type analysis can provide inputs for ___ ___.
SWOT analysis
Given an economic system and the economic market structure for an industry, the next broadest level of concern is the ___ ___.
macro-environment.
