Study Notes
PESTLE Analysis
- Level:
- GCSE, AS, A-Level
- Board:
- AQA, Edexcel, OCR, IB
Last updated 15 Apr 2017
An effective way to analyse key features of the external environment is to use PESTLE analysis.
The acronym PESTLE stands for:
![](https://tutor2u-net.imgix.net/subjects/business/blogimages/bus-pestle-overview.png?auto=compress%2Cformat&fit=clip&q=80&w=800)
Examples for each element of the PESTLE framework include:
POLITICAL
Competition policy
Industry regulation
Govt. spending & tax policies
Business policy & incentives
ECONOMIC
Interest rates
Consumer spending & income
Exchange rates
Economic growth (GDP)
SOCIAL
Demographic change
Impact of pressure groups
Consumer tastes & fashions
Changing lifestyles
TECHNOLOGICAL
Disruptive technologies
Adoption of mobile technology
New production processes
Big data and dynamic pricing
LEGAL
Employment Law
Minimum / Living Wage
Health & Safety Laws
Environmental legislation
ETHICAL / ENVIRONMENTAL
Sustainability
Tax practices
Ethical sourcing (supply chain)
Pollution & carbon emissions
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