...PESTEL analysis for China Outlined below is the PESTEL analysis for China as a whole. 1) Political Factors i. Constitutional System China or People’s Republic of China adopts socialist system or communism in their political system in their decision-making processes in governing the country. The country’s sole political party in power is known as the Communist Party of China. The government have the sole power to control all activities done by their citizen as what have been describe in how communism system worked in governing a country. In other words, the purposes of working in China are to contribute to the nation and also to the government as the government control on all activities in the country. ii. Stability of Government The stability of the China government is quite moderate and stable because the administration of the government are not publicize to the public either through the press or on the internet. So, the degree of the citizen involvement in the politics is low because of the heavy restrictions impose by the government. However, the policies impose and the law regulations are quite effective in terms of economy where China is one of the leading countries in the world. In the recent years (2001), China has joined the World Trade Organization and results rapid growth in industrial and manufacturing sectors because of the cheap labor in China. But still problems such as managing environmental degradation, demographic pressure and the extreme immigration...
Words: 1960 - Pages: 8
...PESTEL -Political Recently China has made extraordinary efforts in modernizing legal and economical system aimed to stabilize the growth of the country; however China remains a strictly controlled country, where civil liberties, such as freedom of communication, religion practice and demonstration are severely limited. Major internal problems in China include growing corruption, increasing rural poverty and environmental degradation. China enjoys a strong relationship with the US and other western countries and is likely to increase its influence in the region due to its expanding economy. China has difficult relations with a number of neighbouring countries, such as Japan, Vietnam, North Korea and Tibet; in particular the strained relationship with Taiwan could ultimately result is a war if the Taiwanese government formally declares independence. -Economical China economy is characterized by its extraordinary size and growth. The GDP has grown steadily since 2003 peaking at 11% year-on-year growth in 2007 (China Business Forecast Report 2008, [1]) and inducing concerns about the country over-capacity in the long term. The US government is trying to exercise its influence to accelerate the appreciation of the Yuan, in an effort to limit or at least control its export deficit. Although the People’s Bank of China has raised the interest rates for five consecutive times in 2007, inflation is still very high with peaks of 6.2% in 2007. Economic growth is...
Words: 797 - Pages: 4
...Political factor: If Nike wants to open international market such as China, the company would get disadvantages because every country will protect and priority for its domestic products. So, the company must find out exactly these requirements that the country require in Nike to overcome these barriers. International trade regulations The trade regulations in China are formulated in accordance with the "Foreign Trade Law of the People's Republic of China" in order to maintain foreign trade order and fair competition and to protect domestic industry. In 2011, Nike has difficulties to highlight the deep problems businesses face in manufacturing in China, particularly at a time of sharply rising costs and a stiffening legal environment. In its first country-specific supply chain report, which it said focused on China because of the forthcoming Beijing Olympics, Nike detailed the efforts it has been making to get suppliers to comply with its code of conduct and with Chinese law, including a program to monitor Olympics-related suppliers this year. Government attitude The Chinese government may have a love-hate relationship with the West — eager for Western technology yet threatened by democracy. Therefore, it is an disadvantage for Nike when expanding its business in China. But for Chinese consumers, Western goods mean one thing: status. China's biggest seller of athletic shoes, Li Ning, recently surrendered its top position to Nike, even though Nike's shoes — upwards of $100...
Words: 1493 - Pages: 6
...Alexandre Ducatte Bachelor 2 Idrac paris PROJECT INTERNATIONAL MARKETING THE SIGN « NICOLAS » IS EXPORTED IN CHINA !!! ANNEE 2012-2013 ATTESTATION DE NON PLAGIAT Je, soussigné(e), ……………………………………………………………………. Etudiant (e) dans le programme ……………………………………….de l’IDRAC atteste sur l’honneur que le présent dossier a été écrit de ma main, que ce travail est personnel et que toutes les sources d’informations externes et les citations d’auteurs ont été mentionnées conformément aux usages en vigueur (Nom de l’auteur, nom de l’article, éditeur, lieu d’édition, année, page). Je certifie par ailleurs que je n’ai ni contrefait, ni falsifié, ni copié l’œuvre d’autrui afin de la faire passer pour mienne. J’ai été informé des sanctions prévues au Guide de l’Etudiant de l’Idrac en cas de plagiat. Fait à ……………………….., le ………………………. Signature de l’étudiant (e). I) Introduction As part of our international marketing project, we were asked to choose a company in order to implement it in a country where it was not present so that we can carry out the various studies that should realize that his ambition was to develop a commercial activity and thus expand its network. This is why I decided to choose the brand of French wine "NICOLAS" I choose to locate in a country where French wine is appreciated but not...
Words: 4603 - Pages: 19
...[pic] Environmental Analysis on Huawei Device Company January 2016 Table of Contents 1. Introduction 1 2. PESTEL Analysis 1 2.1. Political 2 2.3. Social 3 2.4. Technological 3 2.5. Environmental 3 2.6. Legal 4 3. Poter’s Five Forces Analysis 4 3.1. Bargaining Power of Suppliers (medium) 4 3.2. Bargaining Power of Consumers (high) 5 3.3. Threat of Substitutes (low) 5 3.4. Threat of New Entrants (medium) 5 3.5. Industry Rivalry (high) 6 4. Strategic Recommendations 6 4.1. Differential Strategy of Technology 6 4.2. Differential Strategy of Product 6 4.3. Differential Strategy of Service 7 4.4. Differential Strategy of Brand 7 5. Conclusion 7 References 9 1. Introduction Huawei Device Co., Ltd which belongs to Huawei Technologies Co., Ltd., is one of the 4 big business groups of Huawei. The research and development of Huawei Device began in 1993, and rich experiences have been accumulated in several terminal technology fields, such as WCDMA, CDMA, GSM, video, access terminals, and application terminal. Huawei’s devices cover mobile phone, mobile broadband, fusion terminal and video etc. Now, Huawei Device serves 45th in "the world's top 50 telecoms operators" (Huawei, 2016), thus becoming the strategic partner of the world's leading operators, such as BT, Vodafone and Telefonica. With the rapid...
Words: 2766 - Pages: 12
...International Marketing assignment 1 Christian Dior Galway Business School Monday, November 25th Alexandra Dervaux Table of contents 1.Introducing the corporation . o Reasons to internationalise o Models of inernationalisation 2.Analyse the environment o Christian Dior in China PESTEL analysis o Christian Dior SWOT analysis 3.Marketing research 4.Entry modes 5.References Christian Dior 1. Introducing the corportation Christian Dior SA is one of the most important company in the luxury indutry .It is a french holding wich control several subsidiaries composed by the « haute couture » brand named Christian Dior couture (100% owned by the company ) , LVMH SA (40% owned by the company ). The holding business principal activities are : -‐Clothes -‐Wine and spirits -‐Fashion and leather good -‐Perfumes and cosmetics -‐Watched and sunglasses -‐Fine jewellery ...
Words: 3028 - Pages: 13
...countries (Iron Pump, Company). Iron Pump’s core competence is its main focus on production and R&D in the value creation activities (Hill, 2012, p. 425). This knowledge of applications has founded the corner stone of the company. Iron Pump is situated in Herlev, near Copenhagen and has around 100 employees. Iron Pump has an annual revenue exceeding EUR 18 million (Iron Pump, Company). With an ambitious growth strategy and full capability of competing globally, Iron Pump seeks continuous global growth in the future (Iron Pump, Company). In 2003 Iron Pump entered the Chinese market by establishing a representative office in Shanghai (Interview, Iron Pump). This report will focus on expansion of Iron Pump into the Chinese market, but why China? Firstly, with an expected GDP growth exceeding 7,5 percent in 2013, the Chinese economy is steadying, showing new signs of stabilization after a 2 year period of cooling due to the global financial crisis, hindering further globalization of new markets (Reuters, 2013). Secondly, from a more market-oriented point of view for Iron Pump, it is critical that the great majority of the Chinese pump market is driven by centrifugal pumps. In 2011 it accounted for 50.56 percent of the total market revenue reaching USD7.28 billion. Additionally, this trend is expected to increase and reach USD10.20 billion by 2015, a 10,67 percent...
Words: 3933 - Pages: 16
...1. PEST analysis include: Political , economic , social , technological . 2. Strengths and weaknesses. 3. Value chain analysis. 2000-3000 words Pestel Analysis On China Political factor: If Nike wants to open international market such as China, the company would get disadvantages because every country will protect and priority for its domestic products. So, the company must find out exactly these requirements that the country require in Nike to overcome these barriers. International trade regulations The trade regulations in China are formulated in accordance with the "Foreign Trade Law of the People's Republic of China" in order to maintain foreign trade order and fair competition and to protect domestic industry. In 2011, Nike has difficulties to highlight the deep problems businesses face in manufacturing in China, particularly at a time of sharply rising costs and a stiffening legal environment. In its first country-specific supply chain report, which it said focused on China because of the forthcoming Beijing Olympics, Nike detailed the efforts it has been making to get suppliers to comply with its code of conduct and with Chinese law, including a program to monitor Olympics-related suppliers this year. Government attitude The Chinese government may have a love-hate relationship with the West — eager for Western technology yet threatened by democracy. Therefore, it is an disadvantage for Nike when expanding its business in China. But for Chinese consumers...
Words: 668 - Pages: 3
...iBM 1. 2. Analyze IBM strategies, to remix their businesses in order to move to the emerging higher-value spaces, in Macro and Micro environment level 3. IBM strategy PESTEL analysis in Macro level Five forces analysis in Micro level Recommendation Conclusion SOWT analysis Complexity analysis 4. o IBM understood Value was shifting in the IT industry, driven by the rising tide of global integration, a new computing paradigm and new client needs. o Economies of developing nations were growing rapidly, driven by historic investments in fundamental business infrastructure. Enterprises were looking to tap skills and expertise available all over the world and to integrate their operations globally. o Change in computing architecture was rippling across the data center and the network, along with a proliferation of technology infused into all aspects of work and life. Companies were seeking to integrate advanced technology with their business processes and operations, not only to reduce costs, but to enable innovation and growth. o IBM remixed their businesses in order to move to the emerging higher- value spaces by focusing on software and IT industry. IBM Strategies 5. IBM Strategies Hardware And Services Software IBM sold the personal computing department To Lenovo 6. PESTEL Analysis for Macro environment factors Social Political Technological Environmental Economic Legislative 7. Iraq War in 2003, affected world economy, and IBM stock fell down. Technology affects directly...
Words: 1417 - Pages: 6
...This report contains the analysis of value and culture of reputable apparel retailer H&M, as well as three analysis method, which is PETEL, Porter’s five forces, and VRIO framework, to analyse the external influence factors, competitors, and competitive advantages of H&M. Three new potential strategies are tested by using the model of Johnson and Scholes, and one proper strategy will be retained to carry out an Action Plan. 1. Introduction In 1947, the incredible apparel retailer was founded by Erling Persson in Sweden. Over half century, Persson’s 34 years old grandson, named Karl-Johan Persson, took over H&M in 2009(Regnér and Yildiz, 2014). As a pioneering ‘fast-fashion’ retailer, H&M spread in 43 countries, with 2,206 stores worldwide (Regnér and Yildiz, 2014). ‘Fast-fashion’ can be defined as a quick response to up-to-date luxury fashion trends in an affordable price, which meets the deeply held desires for young customers (Joy et.al, 2012). The store expansion has continued at several places, such as Denmark, the United States, Great Britain, also in several European Countries like Spain, Germany (Barman and Petersson, 2002). In order to sustain the growth rate of H&M, the CEO, in 2011, invested more stores and opened another 218 stores on the Champs-Élysées in Paris to strengthen their brand and ensure the future expansion. Following that, in the next few years, another 230 stores were established, involving 35 in China (Regnér and Yildiz, 2014)...
Words: 3142 - Pages: 13
...WAITROSE IN CHINA PESTEL ANALYSIS An organisation (or) business effect or make the decisions depending on the factors in the macro environment.To analyse these external factors, the bussiness planners categorised to as PESTEL model.It is helpful strategic tool for understanding business position, market growth or decline, potential. PESTEL analysis is vital and used widely to understand the external factors affecting the organisation.It is a strategic external analysis used to evaluate (Political,Economic,Social,Technological,Environmental ,Legal) of a particular organisation or business.It is very important when you start operating in a new region or country.It also helpful to break your unconscious assumptions,and you can adapt to the reality of new environment. POLITICAL: political factors are how and to what degree a government interfere in the country economy.It includes areas like tax policy,labour laws, environmental laws,trade restrictions,political stability. ECONOMICAL:The factors include in economical are economic growth, interest rates,exchange rates,inflation rates.It is how government supports trading and business in the country. SOCIAL: Social factors include the cultural aspects and include health consciousness, population growth rate, age distribution, career attitudes and emphasis on safety. TECHNOLOGY: Technological factors include technological aspects such as research and development (R&D) activity, automation, technology incentives...
Words: 316 - Pages: 2
...Situation analysis and strategic recommendations of BP After oil spill disaster in USA Table of content: Introduction 3 Executive Summary 3 Approaches 3 Background of BP 3 BP in USA 3 PESTEL analysis of BP in USA 4 Political Environment 4 Economic Environment 5 Socio-cultural Environment 6 Technological Environment 7 Legal Environment 7 Environmental Analysis 8 Summary 8 SWOT Analysis of BP 8 Strengths 9 Weaknesses 9 Opportunities 10 Threats 11 Summary 11 Strategic Recommendations 11 Porter’s Generic Competitive Strategy 11 Ansoff Model 12 Conclusion: 13 References & Bibliography: 15 Appendix: 17 Introduction: As the global business environment is turbulent and dynamic every business organisation should adopt their strategy with the changing business conditions and conduct external and internal analysis on regular basis to cope up with the changing environment. This paper will analyse the overall situation of BP in USA after the Gulf of Mexico oil disaster. The oil spill creates a new condition for their operation in USA and requires considerable and serious change in the strategic decision making and positioning of the company. Executive Summary: This paper will start with a brief background of BP. A PESTEL analysis will...
Words: 3910 - Pages: 16
...GlaxoSmithKline PESTEL Analysis. The level of implementation of GlaxoSmithKline (GSK) marketing strategy is subject to a range of external and internal factors that shape overall marketing environment for the business. PESTEL strategic analytical tool can be used to study the impacts of external factors to the business where the abbreviation stands for political, economical, social, technological, ecological, and legal factors. Political factors affecting the implementation of GSK marketing strategy include possible changes in international trade regulation and competitive regulation likely to be introduced by the governments of China and India. Economic factors impacting GSK marketing strategy include high rate of economic growth in China and India. Moreover, current economic uncertainties associated with European markets might have negative implications on the marketing strategy Social factors with potential implications on GSK marketing strategy are changes in consumer lifestyles, shifts in consumer attitudes and opinions etc. However, Cameron (2012) specifies increasing level of customer resentment towards large amounts of profits made by pharmaceutical companies and sliding images of large pharmaceutical companies as the most significant social factor in the current environment. Technological factors include breakthroughs in pharmaceutical industry, issues associated with licensing and patenting drug manufacturing technology, as well as, the level of development...
Words: 273 - Pages: 2
...Economy Anonym PESTEL-Analysis of BMW Seminar paper Bachelor Business Administration Seminar paper Strategic Management Topic: PESTEL-Analysis for BMW Course of studies: Business Administration Table of Content Table of Content ............................................................................................ I Table of Figures............................................................................................ II 1. Introduction ........................................................................................ 1 2. Automotive industry in the 21st century ........................................... 1 3. PESTEL Analysis for BMW ................................................................ 2 3.1 Political ................................................................................................. 3 3.2 Economical........................................................................................... 3 3.3 Social ................................................................................................... 4 3.4 Technological ....................................................................................... 5 3.5 Environmental ...................................................................................... 6 3.6 Legal .................................................................................................... 7 4. Conclusion...
Words: 4799 - Pages: 20
...theoretical frameworks are used to evaluate the company on a whole. The environmental audit includes evaluation of the internal and the external environment with the help of The PESTEL framework, Porter’s five forces, Value chain, Capability analyses and The SWOT analyses. INTRODUCTION The executive report provides an overview of the strategic position of McBride Plc which is a fast moving consumer goods company which operates in United Kindgom, China, Vietnam, Malaysia, Hong Kong and other European and Asian countries. It supplies to over 95% of Europe's top 20 retailers including Aldi, Auchan, Carrefour, Casino, Edeka, Leclerc, Metro, Rewe, J Sainsbury's, Tesco and Asda/ Wal *Mart The company deals in major household products and personal care products which are supplied to almost all major retail chains across Europe. The PESTEL framework discussed in this report helps the analysis of the macro environmental whereas the micro environment is evaluated with the help of Michael Porter’s five forces. Value chain and capability analysis also help to study the internal environment. SWOT analysis evaluates the overall position of the company. Conclusion evaluates the company’s working in terms of its strategy being feasible, sustainable and acceptable. MACRO ENVIRONMENT PESTEL Analysis: It provides the broad ‘data’ from which to identify key drivers to change. Political The government makes it essential for the companies to become more environmentally and socially...
Words: 1203 - Pages: 5
