Political Factors - PESTLE

Question 1

What are Political Factors?

Answer 1

The extent to which the Government influences the economy.

Question 2

What are the 4 Political Factors that affect businesses?

Answer 2

Government Policy

Taxation

Imports and Exports

Public Spending

Question 3

What is Government Policy?

Question 4

What is Taxation?

Answer 4

The increase or decrease of rates of taxation.

Question 5

What are the 3 types of tax in relation to PESTLE?

Answer 5

Corporation Tax

VAT

Income Tax

Question 6

What is Import and Export?

Answer 6

Imports - Goods going into the country

Exports - Goods going out of the country

Question 7

What is a tariff (in relation to Import and Export?)

Answer 7

A form of tax and are a common feature for businesses that trades internationally.

Question 8

What is Public Spending?

Answer 8

The allocation of money collected by taxation to various areas of the public sector.

Question 9

What is Corporation Tax?

Answer 9

A tax paid by businesses on their profit

Question 10

What is VAT?

Answer 10

A tax charged on products and services which a business buys or sells.

Question 11

What is Income Tax?

Answer 11

A tax paid by individuals, sole traders and employees of the business.