All this helps in taking crucial decisions about the company, its marketing strategies and choice of products.If a company is targeting a new market or opening a new branch at a different location which has the completely different political environment or socio-cultural practices, the PESTEL Analysis can help in determining how the organization can transform its business for the new requirements.Tags: Essay Yellow Wallpaper Charlotte Perkins GilmanHow To Make A Business Plan For A Restaurant TemplateBusiness Disaster Recovery PlanEssay On CalibanSample Business Plan For Poultry FarmingProblems With Essay Writing ServicesCollege Essays CheatingAs Creative WritingPlanning Your Essay Janet Godwin
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P – Political We know how the government of a particular place can affect its education and legislation.
Political factors include government policy, labor policy, trade limitations, and taxation.
E – Environmental With the change in time, it has become the duty of every company to ensure a sustainable and eco-friendly environment through their services.
These include factors such as climate, weather, and environment of a place.
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These are called the external factors that can affect the performance of the company.
However, there are some macro-environmental factors that lie outside the scope of the external factors of a company but can greatly affect what products a company is going to build, what is its target audience and how the company is going to survive in the market.