This document provides an analysis of the macro environment in Turkey using the PEST framework. It begins with an introduction to macro environmental analysis and the PEST method. It then examines the political, economic, social-cultural, and technological factors affecting Turkey. For each factor, it provides examples and data like population growth rates and urbanization trends. It concludes with an example PEST analysis of Pepsi to demonstrate how the framework can be applied.

1. 2011-2012
UNIVERSITA’ DEGLI STUDI DI TRIESTE
MARKETING
FINAL PRESENTATION
ANALYSIS OF THE TURKISH MACRO-ENVIRONMENT

2. CONTENT:
 THE MACRO ENVIRONMENT ANALYSIS (PEST
ANALYSIS)
 HOW TO DO MACRO ENVIRONMENT ANALYSIS?
 TYPES OF MACRO ENVIRONMENT ANALYSIS
 POLITICAL FACTORS
TABLE 1: Major Issues of Factors of the Macro
Environmental Analysis
 ECONOMIC FACTORS
 SOCIAL – CULTUREL FACTORS
TABLE 2 : Quarterly Population Growth Rate in
Turkey TABLE 3 : Population by Urban -
Rural Distribution in Turkey
 TECHNOLOGICAL FACTORS
 EXAMPLE OF PEST ANALYSIS
Pest Analysis of Pepsi

3. THE MACRO ENVIRONMENT ANALYSIS
( PEST ANALYSIS )
The macro environmental analysis is the first step in
creating
the Environmental Analysis. The macro environment
examines the general business climate as it relates to the
organization.
The macro environment is primarily concerned with
major issues and upcoming changes in the environment.
The acronym for the macro analysis is “PEST.” The four
areas of interest are Political; Economic; Social-cultural
and Technological.

5. HOW TO DO MACRO ENVIRONMENT
ANALYSIS?
In terms of assessing and analyzing the industry, it important to consider
the following :
 What industry does your business fall under? For example; mining
industry, motor vehicle industry, textile industry, agricultural industry, pulp
and paper industry and many more.
 Do you have an understanding of where the industry has come from (past),
where the industry is today (present), and where the industry is going
(future)?
 What is the size of your industry?
 Is the industry growing or declining?
 What are the key trends in the industry?
 Who are the key players in the industry?
 What are the risks associated with the industry?
 What are the key success factors?
 What are the barriers to entry?
 Do you have an understanding of the value chain? Consider the entire
value chain from the Manufacturer to the final consumer.

6. TYPES OF MACRO ENVIRONMENT ANALYSIS
Political
Economic
 Taxation policy
 The general economicsituation in the world
 Trade regulations  International economic organizations
 Government stability  Business cycles
 Unemployment policy  Inflation and exchanges rates
 Goverrnment legislation  Economic growth and changes in GNP and
GDP
 Government policies  Interest rates
 Government stance on competition  Tax rates
 Relevant laws  Resources of money and credit, insecurity
status
 International relations
 The existence of labor force
 Energy existence and cost
 Unemployment levels
Social- Culturel
 Age distribution
Technological
 Education level
 Technological changes
 Income level  Innovations
 Population growth  Speed of technonogical changes
 Life expectancies  Research and development expenditures
 Religion  Improved communication and knowledge
transfer

8. POLITIC FACTORS :
The macro environment analysis will identify changes in
the position politicians take on issues. A current example
is a shift towards greener policies in the developed world.
Some of political factors are as follows :
 Taxation policy
 Trade regulations
 Government stability
 Unemployment policy
 Goverrnment legislation
 Government policies
 Government stance on competition
 Relevant laws
 International relations

9. ECONOMIC FACTORS :
The macro economic environment analysis will identify trends
such as changes in personal disposable income, interest rates,
inflation and unemployment rates. Typically we encounter the
economic factors are as follows :
 The general economic situation in the world
 International economic organizations
 Business cycles
 Inflation and exchanges rates
 Economic growth and changes in GNP and GDP
 Interest rates
 Tax rates
 Resources of money and credit, insecurity status
 The existence of labor force
 Energy existence and cost
 Unemployment levels

10. SOCIAL - CULTURAL FACTORS :
The macro social-cultural environment analysis will
identify trends in societies beliefs, behaviors, values
and norms. Such as the number of workers, attitudes
towards global warming, make up of the family
structure. Some of the social – cultural factors are as
follows :
 Age distribution
 Education level
 Income level
 Population growth
 Life expectancies
 Religion

11. QUARTERLY POPULATION GROWTH RATE IN
TURKEY
Periods Population Growth Rates
1955-1960 28,53
1960-1965 24,62
1965-1970 25,19
1970-1975 25,01
1975-1980 20,65
1980-1985 24,88
1985-1990 21,71
1990-2000 18,3

12. POPULATION BY URBAN-RURAL DISTRIBUTION
IN TURKEY
Population of Urban Population of Rural
Number (million) % Number (million) %
Years
1955 6,927 28,8 17,137 71,2
1960 8,86 31,9 18,695 68,1
1965 10,806 34,4 20,585 65,6
1970 13,691 38,5 21,914 61,5
1975 16,869 41,8 23,479 58,2
1980 19,645 43,9 25,092 56,1
1985 26,866 53 23,799 47
1990 33,326 59 23,147 41
1997 40,882 65 21,983 35

13. TECHNOLOGICAL FACTORS :
The macro technological environment analysis
will identify changes in the application of
technology. A current example is a shift towards
online transactions and in some areas a shift
away from online transactions. There are some
technological factors that affect macro
environment analysis are as follows :
 Technological changes
 Innovations
 New or improved channels
 Speed of technonogical changes
 Research and development expenditures
 Improved communication and knowledge

14. EXAMPLE OF PEST ANALYSIS
PEST ANALYSIS OF PEPSI :
 The PEST analysis method has been successfully applied by Pepsi, which
has obtained economic advantage in its industry. The PEST analysis
method and examples specific to Pepsi are seen in the following factors:
 Political: The manufacture, delivery, and use of numerous Pepsi products
are subject to many federal regulations, like the Food, Drug and Cosmetic
Act. The business is also governed by government and foreign rules. The
international business is subjected to the political stability.
 Economic: The products of Pepsi are influenced by the raw material yield
being used in the soft drinks, juices, etc. All distribution is affected by the
cost of fuel. Operations in international markets involve the study of
unpredictable changes in foreign exchange rate. The economic impacts of
such movements are serious because these affect the growth. Pepsi is
also subjected to availability of energy, supply of money, business cycles,
etc.
 Social - Culturel: Lifestyle has great influence on the use of Pepsi
products, and their advertisements are designed accordingly. Introduction
of Pepsi products in the international market requires an in depth study of
the local social structure.
 Technology: Pepsi is influenced by the modern manufacturing techniques
applicable to their business divisions of soft drinks, juices, and snack
food. Pepsi has to focus on the latest distribution techniques, and other

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