International Business Management

1. PRESENTED TO –
MONIKA SHARMA
INTERNATIONAL
BUSINESS MANAGEMENT
FROM- HIMANI NIZARRE
6TH SEM
BBA (2017-2020)
42715101717

2. PESTEL ANALYSIS

3.  PESTEL analysis is an acronym for a tool used to
identify the macro (external) forces facing an
organisation.
 The letters stand for Political, Economic, Social,
Technological, Environmental and Legal.
 Depending on the organisation, it can be reduced to
PEST or some areas can be added (e.g. Ethical)
 In marketing, before any kind of strategy or tactical
plan can be implemented, it is fundamental to
conduct a situational analysis.
 And the PESTEL forms part of that and should be
repeated at regular stages (6 monthly minimum) to
identify changes in the macro-environment

4. ARGENTINA
POLITICAL
 Political stability to
some extend
 High level of
corruption
 Government is
working in dealing
with losses and
issues that occurred
in the past
ECONOMIC
• Recovering from
previous financial
crises in the year
2001-2002
• Increase GDP every
year
• Potential growth in
economy
• Argentina is viable
option for business

5. SOCIAL
 Favourable in the aspect of
an expansion
 The population of the
country is educated and
literate
 96% of the population has
the ability to read and write
 The population is largely
consisted of youngsters
who will constitute a big
target market
TECHNOLOGICAL
• Adoption of technology
amongst the people of
the country is still
difficult
• Reluctance in the
adoption and use of
technology
• Technological
environment in the
country is low

6. LEGAL
 Various regulations
concerning the
establishment of
organization and their
operations within the
country
 Licenses and approvals
are required
 Food, labour related
laws
ENVIRONMENTAL
• Argentina is highly
focused on the
conservation and
preservation of the
environment
• Focused towards
safety environment
and its conservation

7. AUSTRALIA
POLITICAL
 Political stability to
some extent
 Healthy and positive
environment for
Business
ECONOMIC
• The per capita income
in AUSTRALIA is high
• The quality of life of
the people in Australia
is high
• People spend well on
various products of
their need

8. SOCIAL
 The people in Australia
are educated and pay
attention to the overall
growth of the society
 Essential for the
companies to create
positive impressions
upon the customers
 Year 2018 witnessed the
higher CPI during the last
10 years
TECHNOLOGICAL
• The technological
growth in Australia
is significantly good
• Can facilitate
reduction in costs
• Availabletechnology
to improve the
quality of the
services

9. LEGAL
 Fair competition in the
market
 Labour laws
 Health and
Occupational safety
 Several Taxes such as
Carbon Tax Policy
ENVIRONMENTAL
• Companies are
required to focus on
solving the problem
pertaining to
environment
degradation
• Legal obligation for
the company to avoid
fines and penalties
• Generating awareness
of environmental
issues