users have access to new technologies;
Posted: Tue Feb 18, 2025 8:27 am
Although digital technologies have been included in this group in recent years, traditional industries also influence the development of business strategy. It is necessary to consider:
the emergence of biotechnology, which could lead to major changes in the food market, livestock farming and crop production;
energy technologies and environmental safety requirements;
implementation of artificial intelligence and machine learning, information security.
An analysis of technological factors will help identify the risk of substitute products that could affect the competitiveness of the company's products. The importance of these factors cannot be underestimated. For example, Kodak was the market leader in film cameras and photographic film for decades. But its management did not attach importance to the emergence of digital cameras, and as a result, the company went bankrupt in 2012.
What is SWOT analysis?Read the article
Why conduct a PEST analysis?
Studying PEST analysis, what it is and what factors are hidden kazakhstan mobile database under this abbreviation, one can come to the conclusion that all of them have an impact in the long term. Therefore, the main purpose of the analysis is strategic planning for the next 3-10 years, with adjustments made each year taking into account changed circumstances.
PEST analysis is necessary to:
assess the prospects of the enterprise in the next few years;
develop a development strategy that will work successfully in the long term;
to form an objective idea of the environment in which the enterprise will operate if it is to enter new markets;
identify all potential threats and opportunities for the company.
A small company can conduct a simpler analysis, relying on subjective ideas about demand, supply, market trends. But for large and medium-sized businesses, such an approach is not allowed.
In practice, the analysis affects all business processes. For example, socio-cultural factors must be taken into account when introducing a product to the market and developing advertising. Companies that work in this area always take such factors into account.
the emergence of biotechnology, which could lead to major changes in the food market, livestock farming and crop production;
energy technologies and environmental safety requirements;
implementation of artificial intelligence and machine learning, information security.
An analysis of technological factors will help identify the risk of substitute products that could affect the competitiveness of the company's products. The importance of these factors cannot be underestimated. For example, Kodak was the market leader in film cameras and photographic film for decades. But its management did not attach importance to the emergence of digital cameras, and as a result, the company went bankrupt in 2012.
What is SWOT analysis?Read the article
Why conduct a PEST analysis?
Studying PEST analysis, what it is and what factors are hidden kazakhstan mobile database under this abbreviation, one can come to the conclusion that all of them have an impact in the long term. Therefore, the main purpose of the analysis is strategic planning for the next 3-10 years, with adjustments made each year taking into account changed circumstances.
PEST analysis is necessary to:
assess the prospects of the enterprise in the next few years;
develop a development strategy that will work successfully in the long term;
to form an objective idea of the environment in which the enterprise will operate if it is to enter new markets;
identify all potential threats and opportunities for the company.
A small company can conduct a simpler analysis, relying on subjective ideas about demand, supply, market trends. But for large and medium-sized businesses, such an approach is not allowed.
In practice, the analysis affects all business processes. For example, socio-cultural factors must be taken into account when introducing a product to the market and developing advertising. Companies that work in this area always take such factors into account.