swot analysis political factors
Hereâs the pestle analysis of Huawei; Political Factors For instance, the Trump administration was protectionist and nationalist and it was discouraging imports by ⦠Consequently, the stock price of the automobile kept declining. Weâre living in a very competitive world; you have to use every advantage you have in your pocket to get ahead of your competitors. The unstable political environment would impact BMW in two ways. Political Factors: Stability of the political environment and the attitudes of political parties or movements are the major issues to be considered in Political Factors because these factors influence the tax policies or regulations governing the trade agreements with the government etc. A SWOT analysis is a simple process that helps to analyse your business or projects strengths, weaknesses, opportunities and threats that you may face. As we know that the world is moving towards recycling waste. Huawei is complying with environmental laws, and the company has reduced carbon emission and other harmful fumes. As we know the stable economic environment of any country determines the growth and proliferation of businesses in the country. As we know that the EU allows free trade among all the member countries. The needs and wishes of every market are different. I found the analysis reports of SWOT & PESTLE.com very comprehensive and insightful. Thatâs why the growth and profitability of BMW have been decreasing every year. The demand for smartphones would probably be lower. If the company manufactures its cars from Mexico and sell it to Europe, thereâll be no taxes. Itâs because increment in per capita income has created a culture of more spending on luxury tech items. Even the company can influence government policies. The analysis has indicated that various factors like political condition, changing trends and social patterns, adverse economic conditions affect the growth of the organization. Some companies have even launched the technology in some states of the US. It keeps in mind the needs and wishes of customers along with the political and economical environment of the country. Itâs because they have to comply with the local countryâs laws. It happened and caused a global economic recession. In fact, the brand has launched the first passenger vehicle by using hydrogen. PESTLE and SWOT analyses are commonly performed together for one very important reason: they complement and inform one another. Approximately 100 customers of BMW complained about engine failure. Opportunities are entirely external concerning the business environment. Hereâs the pestle analysis of Tesco as follows; Political factors affecting TESCO PESTLE analysis of Hilton Hotel Political factors: This Just like the US, Huawei has also lost a lawsuit in the UK by the Unwired Planet International Ltd over copyrights and patent issues. Even Huawei launched smartphones like Mate 10 Pro and Mate 10 with the embedded feature of AI (neuron sensor tech) back in 2017. BMW has been growing for the past few years in Europe. If we look at Huaweiâs perspective, the tension between the two governments is costing the growth of the company in the worldâs biggest market. The brand should answer the queries of its customers. The company became operational in 1987 and its headquarter is located in Shenzhen, Guangdong, China. Use Template. If you have any questions, feel free to reach out to him anytime. First, it would reduce the purchasing power of consumers. As weâre aware of the fact that there are different cultures across the world, and people speak different languages and follow different lifestyles. Here the research is to-the-point, no beating round the bush. These entire tech features fall under the category of luxury items and they increase the companyâs growth. Monitoring the political winds includes taxes, international trade regulations, consumer protection, environmental policies, the pro- or anti-business attitude of the president, and the biggie â healthcare legislation. After an in-depth study of the pestle analysis of Huawei, we have realized that the company holds a strong position in the international smartphone market. The US lawmakers and Politicians have gone one step further, their plans and restrictions are limited to Huawei only. If you want to learn about the internal factors of the company, check out the swot analysis of BMW. This aspect of the PESTLE analysis is critically important for a number of industries (such as farming, agriculture, tourism, etc. SOCIAL FACTORS: In PESTLE analysis, social factors are referred to as culture and social-related factors that affect the customerâs buying and consumption behaviour in regards to products and services. The brand recalled approximately more than 300,000 vehicles in 2018 to fix the engine failure issues. Some of the major competitors of BMW are Hyundai, Renault Nissan, Ford, Fiat Chrysler Automobiles, Chevrolet, Zorya, Volkswagen, Koenigsegg, General Motors, Daimler AG, Toyota, and Tata Motors. Trump administration is pressurizing the lawmakers to introduce and pass the bill of restricting the tech products like smartphones of companies like ZTE and Huawei. As we know that the elderly population has been increasing, it would lower the demand for smartphones. Hereâs what to expect over the next ten years: It is often used in collaboration with other analytical business tools such as the SWOT analysis and Porterâs Five Forces to give a clear understanding of a situation and related internal and external factors. 1. He's been writing on various platforms since 2014. Hereâs the detail of all of those factors, one by one. If the government introduces any laws, it would stop the companyâs production facilities. WhatsApp: +923401882219. The growing number of elderly people would greatly impact the growth rate of smartphones and telecom companies. The Chinese government is getting serious about the environment and she has started a campaign against the violation of environmental laws. The band performs heavy research and development before launching any product. Such laws would impact BMW. Such political factors include government policies and laws, taxation policies, budgets, international trade laws, trade restrictions, and even environmental laws in place. SWOT analysis report for Morrisons essays the detailed business case covering strengths, weaknesses, opportunities and threats of this retailer which has is determined to face all odds through its prudent business strategy of "Fix, Rebuild and Grow". The company has spent a considerable amount of resources on the protection and preservation of the environment and nature. Such incidents of recalling vehicles back increase the cost. According to an estimate, BMW has got roundabout more than 20 million fans on Facebook. It became difficult for the company to attract investors. Even President D Trump sent a clear warning to those companies that are using the hardware of Huawei. They plan to impose restrictions on all the Chinese smart devices not to enter the US market. Theyâll be a very good potential market because smartphones would help to spend their leisure time and connect with their friends and family. When we talk about finding out the needs and wants of customers, integrating your platform with social is a major part of it. These are the Political, Economic, Social, Technological, Legal and Environmental landscape in which your business operates. Here weâre going to focus on the macro-environmental factors that impact the growth of the top store in the British market. Some of the major brands of BMW are Rolls Royce, Mini, motorcycles, Automobiles, BMW Motorrad, BMW M, and BMW i. A PESTEL Analysis is often used in conjunction with a SWOT Analysis to provide a macro look at external factors impacting a business objective. The factors known as economic factors are tax rates, interest rates, wage rates, inflation rates, growth rates, and employment rates. Itâs because the American people perceive national security when they see the success of the Chinese company in the US market. Out of the 30 customers filed a lawsuit against the company regarding the same issue in 2017. Autonomous self-driving, automatic car parking, and hybrid vehicles are some of the examples of innovative technology that BMW has added to its vehicles. Weâll focus on the macro-environmental factors that how they impact the company. PESTLE is concerned with macro environmental factors. According to an estimate, BMW has got more than 29 million followers on Instagram. Now Huawei should plan a new marketing strategy for the elderly class of people and target them with easy-to-use smartphones. Huawei has the credit of developing the 5G technology long before any other company back in 2009. The environmental factors in this section of the analysis refer to the natural environment surrounding the regions of your business operations. BMW is also active on Twitter by replying to the comments and answering the questions of people. Faulty engines, recalling vehicles, lobbying costs, and other issues are serious threats to the company. Itâs very difficult to predict the profit and loss ratio of the company when economic conditions are fluctuating. Some of the major products and services of BMW are Automotive, Cars, Financial services, Design works, and Motorcycles. When looking at political factors, you are looking at how government policy and actions intervene in the economy and other factors that can affect a business. If we talk about university education then students pursuing marketing and management courses are often asked to analyse different companies either by using PEST or SWOT or both. Read my article and learn more; Political factors Impacting Zara Trade Agreement with Europe The Brexit deal means the exit of Britain from Europe and it has caused increasing costs, a decrease in the volume of sales, and more trade restrictions. The automotive market has become very competitive in recent years. The report analyzes the data from September 2019 to September 2020. Many people have experienced that the customer service of the company isnât consistent. Itâs much different than the contemporary smartphones of Apple and Samsung because it can differentiate between objects and people in different lights. The shutdown and lockdown of businesses decreased the annual revenue and net income of the company by approximately 1.48% and 34.64% respectively in 2020. The brand started its journey manufacturing mobile devices and then keeps on increasing its portfolio with products like broadband, telecommunication devices and equipment, and consultation and operational services as well. He's been writing on various platforms since 2014. According to a recent study, the elderly population of China aging more than 60 years old has reached approximately 255 million people. Autonomous and self-driving vehicles are the latest technology. Tesla (electric car manufacturer, the biggest competitor of BMW in the automotive industry) has already added an Autopilot feature in its vehicles. Understand the broad macro-environment of Barclays bank and the UK banking industry in terms of political, economic, social, technological, environmental and legal factors (PESTEL/PEST/STEEPLE). By the end of the case, students should be able to: Understand the broad macro-environment of Tesco and the UK grocery retailing industry in terms of political, economic, social, technological, environmental and legal factors (PESTEL). BMW is a global multinational brand and high tariff impacts the companyâs profitability. The laws, taxation policies, monetary policies, etc are all a part of the political environment. They can jeopardize the companyâs profitability by increasing the extraneous costs and fines. The only way to stand out from the crowd is to adapt to the latest technology. Especially the regulations related to Bluetooth and Wi-Fi technology, because they can be very tricky. Initially, BMW began manufacturing the engines of aircraft from 1917 to 1918 and 1933 to 1945. Luxury lifestyle and advertises its vehicles are Opportunities the SWOT and PESTLE detail! 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