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 Factors (e.g. stability and election).
- Taxes and fees.
- Wage, overtime.
- Mandatory employee benefits.
- Government intervention in the free market.
- Comparative Advantages.
- Economic growth rate.
- Inflation rate.
- Class Structure.
- 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.