P.E.S.T. Analysis

Continuing my posts about Marketing tools, I have to say that the key for success is to integrate the more number of analysis that is possible to build a Marketing Plan. As part of Marketing Plan you will find the P.E.S.T. analysis. The objective of this technique is to outline external influences that affect a company, it is important to avoid potential threats and take advantages of opportunities into the market. P.E.S.T. analysis is the analysis of Political, Economic, Social and Technological factors.

Political Analysis:

  • Political Factors (e.g. stability and election).
  • Taxes and fees.
  • Wage, overtime.
  • Mandatory employee benefits.

Economic Analysis:

  • Government intervention in the free market.
  • Comparative Advantages.
  • Economic growth rate.
  • Inflation rate.

Socio-Cultural Analysis:

  • Demographic.
  • Class Structure.
  • Education.
  • Culture.

Technological Analysis:

  • Technology’s impact on the product or business.
  • Impact on cost structure
  • Impact on chain structure
  • New technologies.

After analyze those factors think about what potential threats and opportunities the market has for you. For learn more about this powerful tool check the link of the detailed explanation that the website mindtools.com prepared.

https://www.mindtools.com/pages/article/newTMC_09.htm

Thank you.

Vinny.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s