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External Environments - Coggle Diagram
External Environments
PESTLE Analysis
Techonolgy
Legal
Social
Environmental
Economic
(+) Competiton
Political
An acronym for the range of influences in the external environment that affect all businesses
Examples of external factors affecting businesses
Market Factors
Environmental Fcators
Demographic Factors
Economic Factors
Social Factors
Technological
Innovation
Disruptive technologies
AI
Social Media
Data storage
Economic
Economic Growth
Incomes
Interest and exchange rates
Inflation
Social
Demographic changes
Cultural and social trends
Consumer tastes
Buying habits
Environmental
CSR
Fair trade
Impact
Carbon emissions
Political
Government economic and social policies
Government intervention & tax
Industry regulations
Legal
Legislation
Health & Safety
Employment Law
Competition
All businesses operate in competition with other businesses:
Some operate within in the same market
Some are in competition across markets
What can the External Environment affect?
Costs
The value paid or to be paid for the acquisition of goods and services by businesses
Demand
The amount customers are willing and able to buy at a set price at any given point in time