STEEP

Question 1

STEEP Analysis

Answer 1

• Social
• Technical
• Economic
• Ecological
• Political/legal

Question 2

STEEP Analysis is also known as

Answer 2

Macroenvironmental Analysis

Question 3

Social aspect of STEEP

Answer 3

Social issues are related to trends in tastes or preferences that can affect organizational risk

Eg. Consumers moving towards healthier options

Question 4

Technological aspect of STEEP

Answer 4

Technological issues refer to the potential for tech to affect organizational risk.

Eg. FedEx using barcode tech to implement a tracking system

• Dell - customized computers
• Walmart - restocking technology

Question 5

Economic aspect of STEEP

Answer 5

Economic issues are related to the potential of the economy and general economic conditions to affect organizational risk.

• some industries rise and fall with the economy
• others like DIY renos & grad school are counter cyclical to economy
• the challenge for all organizations is to develop products and services such that the organization can be successful in all stages of the economy

Question 6

Ecological aspect of Steep

Answer 6

Ecological issues refer to the potential of ecological considerations to affect organization risk

• EG. Enviromental laws and restrictions politicians might impose on organizations
• revisions in product design and packaging

Question 7

Political/legal issues aspect of Steep

Answer 7

Refers to the potential of political or legal activities to affect organization risk. Examples include government interventions in market activities, regulation of certain industries and regulation of international product transfers (through tariffs, transfer pricing regulations or quotas.)