Flashcards
3.1.3: Understanding that businesses operate within an external environment
Flashcards do conjunto (10)
- 1Macro-environment:factors entirely outside a business' control, often referred to as PESTLE
- 2PESTLE:P - Political
E - Economic
S - Social
T - Technological
L - Legal
E - Environmental/Ethical - 3P - Political-Government policies at home or abroad e.g. Burger King in India, alcohol age limits
- 4E - Economic-Taxes (an increase -> people have less disposable income -> spend less)
-Interest rates (same as above) - 5S - Social-Lifestyle
-Age
-Behaviours
-Target market - 6T - Technological-Production techniques change
-Investment in research/development e.g. Apple pay - 7L - Legal-Food standards/regulations e.g. Ingredients list in full
- 8E - Environmental/Ethical-Sustainability factors
-Car emissions
-Pollution controls
-Waste control
-Fair trade - 9Micro-environment:influences from within a firms immediate business environment i.e. its market or industry
- 10Porters Five Forces:1) Existing competitive rivalry: How intense is the competition? What are they capable of? How many?
2) Threat of substitute products: How easy is it for a customer to switch to another product/service? High/low risk?
3) Threat of new entrants: How easy is it for a competitor to enter the market? Are there and barriers to entry?
4) Power of buyers: impact price?
5) Power of suppliers: Number of suppliers in market? Control over their prices? (in relation to supply and demand)
Informações
- Descrição
- Macro-environment (PESTLE), Micro-environment (Porter's 5 forces)
- Criado por
- Ashleigh-Jade Jones
- Visualizações
- 49
- Avaliação