pestle analysis

1. POLITICAL FACTORS
AFFECTING BUSINESS
AMITY GLOBAL BUSINESS SCHOOL .
BANGLORE.

2. POLITICAL ENVIRONMENT
 The political environment of the business are the political factors that can affect
the way in which business operate ,the businesses that are present .
 According to the business dictionary:
’’the political environment is the government actions which affect the - operations of
a company or business’’.
 There actions can be present on several different levels including the local,
state, regional, national and international level.

3. Political factors affecting business
 Elections.
 Trade control.
 Employment law.
 Data protection law.
 Environmental law.
 Tax policy(tax rates and incentives).
 Gov. involvement in trade unions and agreements.
 Import and exports restrictions on quantity and quality of the product.
 Intellectual property law(copyright, patents).

4. Effects of these political factors on
business environment
 impact on economy:political situation of a country affects its
economic setting. The economic environment affects the business
performance.
 Changes in regulations : governments could alter their rules and
regulations . This could in turn have an effect on a business.
 Political stability : lack of political stability in a country effects business
operations. This is especially true for the companies which operations
internationally.

5. • Importance of observing the political
environment.
Firms should track their political environment change in the
political factors can affect business strategy because of the
following reasons.
 The stability of a political system can affect the appeal
of a particular local market.
 Gov. view business organizations as a critical vehicle for a
social reform.
 Gov. actions influence the economic environment.

6. Thank you
PREPARED BY :MANOJ