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In-Depth PESTLE Analysis of Honda For Growth

by Shamsul January 26, 2022

PESTLE Analysis of Honda

Honda is a Japanese automotive manufacturing company in the world. In 1946, Takeo Fujisawa and Soichiro Honda established this company. In this article, we are going to do the PESTLE Analysis of Honda for academic purposes. Currently, it is headquartered in Minato, Tokyo, Japan. Honda is a leading motorcycle and automotive manufacturing company with a strong global presence. It operates in more than 150 countries. More than 215650 employees are working under this company and successfully managing the operations globally. Apart from motorcycles and automotive, the company is also a leading name in manufacturing internal combustion engines. Since 1959, the company has sold nearly 400 million motorcycles. The product portfolio of Honda is really vast and robust as they manufacture commercial vehicles, automobiles, robotics, motorcycles, scooters, jet engines, jet aircraft, thin-film solar cells, outboard motors, or you name it. They also manufacture electric generators and home gardening equipment.

The automotive industry is really competitive. The main rivals of Honda are Toyota, Hyundai, Tata Motors, BMW, Volkswagen, Porsche, Ford, Mercedes, Audi, and so on. In this PESTLE analysis of Honda, we will study some crucial factors like political, economic, social, technological, legal, and environmental that affect the company’s business on an international level.

Here is the complete PESTLE analysis of Honda:

Political Factors – PESTLE Analysis of Honda

Government Influence:

Many international companies hire lobbyists to serve the brand or company. But, Honda does not have any lobbyists because the brand is very popular in every corner of the world and significantly influences governments. As a multinational automotive company, the company is operating all over the world by following the laws and rules of different countries. On the other hand, the company can take advantage of lower taxation in India and Africa for its growth.

Clash with China:

China is the world’s biggest consumer market right now, and the clash between these two countries can hurt the revenue and profit of Honda. As we mentioned above, Honda is a Japanese company, so it does not have friendly relations with China. Moreover, several countries have increased their tax rate and tariffs due to the conflict with China.

Electric Vehicles:

Environmental sustainability and clean energy is putting pressure on companies and governments. The main purpose of manufacturing electric cars is to reduce pollution or emissions. Due to this reason, the trend of electric vehicles is growing rapidly. This is the hot topic right now after the popularity of Tesla. Also, the company has introduced several models of hybrid vehicles and trying its best to manufacture electric cars.

Economic Factors – PESTLE Analysis of Honda

Gross Domestic Product (GDP):

In 2020, the annual revenue of Honda was 122 billion dollars, and it has decreased by 13.7 percent. The main reason for this decline is Covid-19 and the current economic recession. That is why its net profitability and annual revenue have dropped during the last two years.

Market Acuity:

Honda’s offerings are totally different in both luxury and economic markets. In Pakistani and Indian markets, the main popularity of Honda is because of its high-quality motorcycles. When it comes to cars, people think it is a luxury brand. This kind of market perception is creating problems for Honda in these markets. Due to the current economic conditions, Honda should offer good products.

Recession:

With such a vast global presence and strong portfolio, Honda is considered the most reliable brand globally. But, the pandemic, travel restrictions, shutdowns, and lockdowns have negatively impacted the brand, and its net income, sales, and revenue are decreased. But, the company is trying to reduce its unnecessary expenses in order to minimize the losses. Honda is also planning to reduce its operational as well as manufacturing costs to provide cost-effective products to customers.

Social Factors – PESTLE Analysis of Honda

Customers’ Requirements:

While buying a car from any brand, a customer looks for specific features in the vehicle. Maybe it is fuel efficiency, comfort, price, or convenience. This little thing can impact the performance and growth of the company at a high level. It is hard to fulfill every customer’s demand, but by focusing on essential features, Honda can make its customers happy.

The trend of Electric Cars:

In the sub-continent, Honda is known for its motorcycles. But in developing countries, people are shifting towards eco-friendly vehicles like electric cars. Just to fulfill the demand of these customers, Honda has launched electric scooters and planning to manufacture electric vehicles in the future. It will help the company to attract more customers from different markets who are eco-conscious. These electric scooters and cars would be great for users and society.

Original Products:

Some people, countries, or regions do not prefer imported services and items. Due to this purpose, Honda manufactures those products made with indigenous workforce and material. Honda uses the English language in all English-speaking regions to reduce the language obstacles.

Technological Factors – PESTLE Analysis of Honda

Technological Upgrade:

It is hard to stay up-to-date because technology is growing daily. But, Honda is investing a considerable sum of money to stay up-to-date with the latest technology. Recently, Honda has updated and installed v-tech engines and GPS, respectively. This kind of up-gradation will take the company to new heights and help to reduce its carbon emission footprint.

Renewable Energy:

In manufacturing electric scooters, the company has utilized innovative technology. It was a mixture of various latest technologies, and the main purpose of using these technologies is to manufacture better quality products for the consumers. According to a report, Honda employs more than 60 percent clean energy in the production of its products.

Legal Factors – PESTLE Analysis of Honda

Legal Problems:

Being a global brand, the company tackles different legal issues over various problems in other countries. For example, many countries are endorsing the use of electric and hybrid cars, but they haven’t cleared any rules or regulations regarding electric vehicles so far.

Product Recall:

In order to reduce the litigation cost, the company should enhance the quality of its products, such as cars. Recently, Honda recalled more than 50000 motorcycles due to faulty brakes. Such problems can damage the image of the company. Also, the brand should focus on the prices of products in order to avoid any legality.

Environmental Factors – PESTLE Analysis of Honda

Sustainability:

The company is taking various steps and initiatives to promote environmental sustainability. By the end of 2050, the company will reduce its carbon emission to half. It is only possible when the company manufacture more electric and hybrid vehicles. It would help the company to minimize its carbon emission.

Conclusion – PESTLE Analysis of Honda

After this in-depth PESTLE analysis of Honda, we have determined that Honda has so many growth chances. The company should take a competitive advantage over competitors by making electric cars and motorcycles.

Honda can create a strong global image by handling environmental, legal, and other sensitive issues. Honda should resolve problems before they could affect the company’s revenue and profit.

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PESTLE Analysis of Hyundai with Extensive Product Portfolio

by Shamsul January 25, 2022

PESTLE Analysis of Hyundai

Hyundai is one of the most popular car makers manufacturing vehicles for every customer segment. The company has an extensive product portfolio from small cars to SUVs and luxury vehicles. Everyone loves Hyundai due to its advanced manufacturing and unique designs. Read the PESTLE Analysis of Hyundai.

Currently, the company is trying to manufacture eco-friendly vehicles like electric cars. The strong market of Hyundai is in Asia, and its models such as i10, 120, and Sonata are very famous all over the world. In American markets, Santa Fe and Elantra have been doing well. As a result, the company’s revenue and reach are increasing rapidly.

To analyze the business tactics of any company, PESTLE is the best tool as it helps to investigate several external factors such as political, economic, social, technological, legal, and environmental. The impact of these factors is really huge on any business. This PESTLE analysis highlights the external factors of Hyundai, a leading automaker globally.

Political Factors – PESTLE Analysis of Hyundai

There are plenty of car brands globally, and Hyundai is one of them with a global presence and loyal customer base. The political scenario of the world has made the business environment more complex. Establishing business worldwide needs unique tactics such as government rules, an unstable political environment, and heavy taxes. This kind of business environment can create supply chain disruption, manufacturing issues, and sales problems. So, Hyundai can’t take political forces for granted or easily because they are responsible for the better growth of its business. The business of Hyundai spreads across geographies. The political stability in the Asian-Pacific market creates a wonderful growth opportunity for Hyundai. It is a great trading indicator for the company.

Moreover, the relations of South Korea with other countries also predict which country is suitable to invest in. Unfavorable relations or conditions can lead to many problems like strict regulations and higher taxes. As a global brand, the change in the governments can also hurt the working of Hyundai.

Economic Factors – PESTLE Analysis of Hyundai

The ups and downs in businesses are common but constant slowdown is not favorable for any company. India is one of the most prominent markets and its current economic situation is not so favorable for the company. More than 350000 people have lost their job recently. Economic factor has a direct impact on any business and they can affect the business globally. These days, the world’s economic situation is unpredictable due to the impact of COVID-19, recession, and unemployment. This thing has decreased the demand for new cars and luxury cars, impacting all automotive brands. The customer’s buying power is really limited, and they prefer to use public transport instead of buying their own car. That is why the demand for SUVs and big vehicles has increased.

Moreover, Hyundai should increase its US and Japanese market presence to increase its revenue and profit. Other automotive brands are trying to make conditions favorable by offering exciting schemes and discounts. On the other hand, Hyundai is doing fine in India’s car sales department. It is only because of its unique features and striking designs. Even though Hyundai is a latecomer in the SUV space, they have gained significant popularity and market share. By creating job opportunities in India, Hyundai can produce cost-effective vehicles because of the cheap labor.

Social Factors – PESTLE Analysis of Hyundai

The number of male and female drivers in the world is nearly the same (60:40). Hyundai can manufacture vehicles suitable for both sexes. By customizing its cars, the company can fulfill the requirements of customers. That is why the company mainly targets middle and upper-class people. The company offers every type of car with the cost ranging from 6000 to 35000 dollars. Social factors are a game-changer for any business if they utilize them properly. Hyundai can easily target new customers by understanding the customer’s requirements, preferences, and cultural norms.

For example, the demand for SUVs is rising globally, so Hyundai can benefit from this trend by manufacturing affordable and durable SUVs. So, we can say that social trends play a big role in the working of any business. It is crucial to make strategies according to the latest trends to hit the customers rightly. This thing provides a great chance for long-term stability.

Technological Factors – PESTLE Analysis of Hyundai

In order to reduce carbon footprint and to increase fuel efficiency, the company uses Gasoline Direct Injection (GDI) technology. But, Hyundai’s cars provide less mileage. Due to this reason, Maruti Suzuki is giving a tough competition to Hyundai in India. Moreover, many automotive companies are focusing on Artificial Intelligence (AI) to gain a competitive edge. The company should invest in this factor to have a unique advantage. In the 21st century, people are really tech-savvy and prefer to use advanced and highly innovative products.

They judge every feature before buying cars. Hyundai should introduce technological enhancement in its products to gain the attention of customers because the competition is really high in the automotive sector. They must invest in research and development to produce quirky designs and cars. When it comes to R&D investment, the company is really strong because they invested 2352 billion Korean WON in 2016 just for R&D purposes. This kind of investment helps the company get a competitive edge over other automotive brands, and they can create a stable business environment by gaining users’ trust.

Legal Factors – PESTLE Analysis of Hyundai

In order to protect Intellectual Property Rights (IPR), every country has strict laws and rules. It involves the trademarks, copyrights, and filing of patents. That’s why the Indian market is the most favorable market for Hyundai. Also, the country’s discrimination laws are stringent, so it is a good indicator for investors. This thing ensures a good working environment for the companies as well as for the people. In case of any breach or rule break, a company can face hefty fines that are not good for its reputation. By following labor laws, environmental laws, and areas laws, Hyundai can win the trust of customers and remain competitive. It is not only good for the company but also for the environment. Isn’t it a win-win strategy? Hyundai should not be involved in any controversy or lawsuit because these things are enough to break the company’s repo.

Environmental Factors – PESTLE Analysis of Hyundai

For Hyundai and other car companies, environmental initiatives are their main focus. Nearly every car runs on fuel, so it is hard to control emissions. Hyundai and other automotive brands must meet emission standards and ethical working. Unethical practices and other negative news can tarnish the company’s image globally, which will directly affect its revenue. As people are more eco-friendly, they support every act of sustainability. So, Hyundai can impress eco-conscious users by reducing its carbon emission and sustainable practices. Every country has created environment-related rules or laws, creating considerable pressure on the companies like Hyundai. Hybrid cars and electric vehicles are the only way to impress the people and governments.

Summary

PESTLE Analysis of Hyundai

We live in an advanced era where technological, political, and economic factors matter a lot. Financial uncertainty can disrupt the operational structure of any company. Fluctuating currency rates is another problem for companies like Hyundai who are operating internationally. It is essential to follow environmental rules and tackle legal factors intelligently to keep your business away from any scandal. A friendly political and economic environment is suitable for enhancing growth, revenue, and net profit.

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Complete SWOT Analysis of Hyundai Motor Company – 2022

by Shamsul January 23, 2022

SWOT Analysis of Hyundai Motor Company

Hyundai is a famous South Korean automotive manufacturer company founded by Chung Ju-Yung in 1967. The company went through major changes over the years and now it is an established automotive brand that sells commercial vehicles, light vehicles, and buses. Right now, Hyundai is the fifth largest automaker brand in the world. It has a strong presence in more than 185 countries and sells millions of vehicles every year. When it comes to subsidiaries, Hyundai controls approximately 33 % of Kia Motors and other automotive companies, which makes it Hyundai Motor Group. According to Interbrand, it is one of the most worthy brands in the world. Moreover, Hyundai has achieved many safety awards. This SWOT analysis of Hyundai will highlight some important details about the company in the form of strengths, weaknesses, opportunities, and threats.

Company Name: Hyundai Motor Company

Founders: Chung Ju-Yung

Founded: Dec 29, 1967

Headquarter: Seol, South Korea

Parent Company: Hyundai Motor Group

Industry: Automotive

Key People: Chung Eui-sun (chairman)

Eon Tae Ha (president and CEO)

Jae Hoon Chang (president and CEO)

Type: Sedans, Hatchbacks, SUVs

Sector: Automobiles

Tagline: New Thinking New Possibilities; Drive Your Way

Unique Selling Proposition: Hyundai is the largest automobile manufacturing company in South Korea and targets every type of customer from the middle to upper-middle class.

Customers: People who love luxury, family, or commercial cars are the main customers of Hyundai.

Target Consumers: Young Executives from middle and upper-middle-class

Revenue: 28867.2 Billion KRW (2021)

Net Income: 1486.9 Billion KRW (2021)

Strengths of Hyundai – SWOT Analysis of Hyundai

Amazing Safety Features and Award-Winning Designs:

Hyundai cars are one of the safest cars in the world. The company made a significant amount of money in the development of cars and safety features. The company has received several awards like IIHS Top Safety Pick+ (Santa Fe, 2016), 5 Star Safety Rating from National Highway Traffic Safety Administration (US), and many more. It seems like the company is not going to stop winning awards. In the period of last six years, Hyundai has won more than 30 safety awards globally. The company has been putting so much effort into enhancing its vehicles, including light and commercial cars. Elantra, i20, Tucson, Sonata, and Genesis are some of the most popular models of Hyundai. These models are one of the most selling cars of Hyundai and won many awards. Also, the company has received more than 20 awards due to its design and models

Highest Brand Reputation:

There is no doubt that Hyundai is one of the most reputable and top brands in the global automotive industry like BMW, Mercedes, Volkswagen, Ford, and Toyota. These companies are trying to take a competitive edge over each other, and due to this reason, they are manufacturing high-quality vehicles for users. The brand value of Hyundai is 15.2 billion dollars (2021).

Strong R&D Department:

In 2015, Hyundai has invested 1.847 billion dollars (or KRW 2.712 trillion) in research and development. This amount was not enough as compared to other brands but it is one of the biggest strengths of Hyundai. Due to this kind of investment, the company has successfully introduced Sonata and Loniq. These electric cars are also capable of running on fuel. So far, the company’s biggest achievement is its hydrogen fuel cells technology. It was the first company that manufactured vehicles running on fuel cells. Hyundai is investing heavily in this technology to gain a competitive edge in the industry.

Cost-effective and Durable Vehicles:

When it comes to well-built cars, Hyundai comes first as they give a 5-year guarantee for cars sold. This thing makes Hyundai the most valuable and most-selling brand in the world. The reason behind giving such a great guarantee is that the company produces high-quality cars. Moreover, Hyundai cars have won several accolades. This is the main reason why Hyundai is a famous global brand.

Strong Hold in China:

For Hyundai, China is one of the biggest markets and it has a strong presence in China. The company has 9 % market share in the Chinese market. The Chinese market is giving several benefits to Hyundai in the form of growth and sales. Just because of this, Hyundai has a loyal customer base and a strong presence in China and the world. Recently, the company has suffered a loss in China due to its expensive SUVs. So, they introduced new SUVs in 2017 that were affordable and cheaper. Stronghold in the Chinese market provides a great growth opportunity to Hyundai.

Weaknesses of Hyundai – SWOT Analysis of Hyundai

Limited Brand Portfolio:

Despite all the strengths, there are some weaknesses that make the company a weak brand. The big thing in this matter is its poor brand portfolio, leading to fewer sales. The company only sells Hyundai and Kia brands (while Volkswagen trades 12 different brands). This fewer brand portfolio causes a limited customer base. So, it is hard to satisfy customers, which affects its sales.

Low Presence in Japan and the US Markets:

The US is one of the leading vehicle markets globally. This market has so many opportunities for automakers like Hyundai. They can earn more revenue and reach by introducing electric cars, trucks, and commercial vehicles in this market. But unfortunately, Hyundai has a limited presence in the US market. They sold less than 10 percent units in this market, which is insufficient. On the other hand, the company has no presence in Japan. It is the biggest weakness of Hyundai, and they should focus on these markets to stay ahead of the competition.

Poor Management:

The company’s revenue has been growing over the last few years, but its net profit has decreased due to poor management. The company is facing some management and operational issues, resulting in the decline of its profit. It also includes poor decisions from the core management.

Product Recall:

Product recall is one of the major weaknesses of Hyundai. The company recalled more than 470000 Sonata and 305000 other vehicles for engine and light braking issues respectively. The company’s recalled value in the US is very high and this thing is damaging the company’s name and customers. It can create a company’s negative reputation in the market, resulting in lower profits and revenue.

Opportunities for Hyundai – SWOT Analysis of Hyundai

Growing US Economy:

To increase its revenue and profit game, Hyundai should target the US market because it has more to offer. Every year, millions of units are sold in this market from different brands. Moreover, the economic condition of the US is really suitable for Hyundai and it can provide a great growth opportunity to the company. It is a wonderful chance for Hyundai to grow its sales and customer base by focusing on the US market.

Launching of New Models:

The growth opportunity of the automotive brand is based on the frequency and timing of new model releases. It is crucial to upgrade the system and cars every 4 to 5 years to get a competitive advantage. Minor modification is necessary for the cars and it keeps customers engaged. Hyundai can upgrade its vehicles frequently because it invests a great sum of money on R&D. The goal is to manufacture affordable but durable vehicles for every type of consumer and need. In this way, Hyundai can maximize its competitiveness in the automotive market.

Low Fuel Prices:

The decline in the prices of fuel could be beneficial for the company as they can motivate users to buy heavy vehicles like trucks and SUVs. Hyundai mostly produces sedan cars, so they can’t get the advantage of low fuel prices. It is crucial for the company to manufacture more trucks and SUVs because their demand is really high in the US market. By introducing cheaper and quality SUVs, Hyundai can give tough competition to competitors.

Threats for Hyundai – SWOT Analysis of Hyundai

Fierce Competition:

The minor mistake could hurt the earnings of Hyundai. The automotive industry is surrounded by many heavyweights like Ford, BMW, Volkswagen, Mercedes, and Toyota. The strongest market of Hyundai is China, but there are so many local companies that offer the same vehicles at competitive prices. Companies like Tesla and Google are also creating trouble for companies like Hyundai by introducing electric and self-driving cars. Hyundai should pay attention to these factors to produce electric cars.

Increasing Korean Exchange Rates:

International markets are one of the main revenue generators of Hyundai and the company is heavily dependent on this revenue. The fluctuation in the exchange rate could be big trouble for the company. It can damage the revenue stream and profits of the company. The rising Korean exchange rates are proof of this thing, and there is a chance that the company could suffer some loss due to this reason.

Government Rules and Regulations:

Environmental initiatives could increase troubles for the company in many ways. Hyundai is a global brand, so government rules and regulations of every country can also disturb its work. Moreover, the pressure of reducing carbon footprint, greenhouse emissions, and sustainability are some of the big threats for Hyundai. It is hard to survive in this kind of system with expensive products and a limited product portfolio.

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Emirates PESTLE Analysis | Fly Emirates, Fly Better

by Shamsul January 20, 2022

Emirates PESTLE Analysis | PESTLE Analysis of Emirates

Emirates PESTLE Analysis investigates the brand on its corporate strategies. It analyzes the different outside factors like financial, political, social, innovational (PEST), which affects its business alongside environmental and legal elements. The PESTLE Analysis presents the mixed situations that impact the brand’s progress and recognition.

PESTLE Analysis assists with understanding business elements and further develops its business consistently. PESTLE analysis is likewise known as PESTEL analysis.

Here we begin the Emirates PESTLE Analysis:

Political Factors:

The political variables in the PESTLE Analysis of Emirates can be clarified as follows:

The aviation industry is exceptionally inclined to the political elements as the government consistently attempts to keep the traveler’s safety at the highest level of need. It is not just with regards to the clients for which government can influence the Company business yet additionally assuming the country from where it is based has any competition with the country where it needs to work. Emirates Airlines is a state-claimed service from UAE, which has tasks spread the whole way across the globe. It can cause a ton of economic loss for Emirates Airlines. Besides, the service is an auxiliary of the Emirates Group which is possessed by the public authority of Dubai’s Investment Corporation, so it is extremely regular that there is a ton of government effect on the vital choices of this airline.

Economic Factors:

The financial variables of PESTLE Analysis of Emirates:

The International Air Transport Association uncovered that by 2030 travelers going in planes will be multiplied to 8.2 billion.

It presents an incredible chance for the Emirates to extend its South and North American market and adventure into the Asian and European business sectors, where the airline market is developing at a fast speed. Quite possibly, the main part influencing the matter of Emirates is oil. Price changes in oil markets make the condition highly unpredictable to the organization to work in. Besides, the organization does not have the option to recover totally from the worldwide stoppage in the year 2008. The vanishing of Malaysian aircraft has also devastated the business. Individuals started to address whether air travel is pretty much as protected as the companies claim it to be.

Social Factors:

The social elements affecting Emirates PESTLE Analysis:

A few years back, airline businesses saw an abrupt development in their ticket deals from emerging nations like India, Australia, and China. The modest airfares and expansion in the earnings of individuals have incited travelers to choose airlines. The majority of individuals need to go in the plane; however, prior the high costs made it inconceivable for the working-class family to go in planes, yet the solid rivalry in the airline markets prompted a colossal cut in the prices of the tickets and in this manner makes it feasible for the working class individuals to go in planes. The lift in the travel industry likewise contributed to the increasing revenue of Emirates group. Individuals need to go all over the world and discover better places. This has opened an amazing option for the Emirates Group to expand its business.

Technological Factors:

The technological variables are of high significance that’s why discussing in the PESTLE Analysis of Emirates is important:

Like some other groups, Emirates Airlines is reliant upon great innovative progressions. Technology in this age is changing quickly to the point that any advanced development now strongly influences overall business performance. Airlines or any other businesses using the latest technologies have better chances to upgrade the systems. Thus, Emirates Airlines needs to stay aware of the innovation to stay the dearest air travel option on the planet. The organization has fostered a routing procedure that permits the aircraft to convey extra freight into Kabul International Air Terminal. Before what happened, assuming there is low visibility, cloudy condition, or bad weather condition in Kabul, it needs to offload the freight in Dubai. Presently the new route procedure empowers the Emirates to unload the cargo even in bad weather conditions.

Besides, it has expanded the capacity of the aircraft to convey extra freight (250 tons of cargo) into Kabul during bad weather conditions.

Legal Factors:

Following are the legal affairs related to the Emirates PESTLE Analysis:

Legal variables could be the claims by different individuals, organizations, legislatures, NGOs, and so forth against the business or the other way around. The European Union’s Supreme Court has applied compensations or fines on Emirates Airlines up to millions of pounds. The European travelers know their rights related to compensations if the flights are on delays especially more than 3 hours. Emirates Airlines always tries to keep the schedule tight. It is very rare for the airline to face delay fines and airport fines. However, it may happen under certain circumstances. American airlines have filed a petition against Emirates Airlines for using unfair business strategies and policies to develop its business in USA and Canada.

Environmental Factors:

The Emirates PESTLE Analysis discusses the environmental components influencing its business:

Nowadays, more and more travelers are looking forwards to using Green Travel options. Green travel is not a new term but it got significant attention in 2020. The covid-19 pandemic has a significant devastating impact on all the business sectors. This has changed the manufacturing, operational, and marketing strategies worldwide. Emirates Airlines uses fuel. It is believed that fuel-based businesses are a huge cause of global warming. It is time to replace the old airplanes with new models. The new models are efficient not only because of less fuel consumption but also for great combustion technologies. Passengers like to have airplanes that consume Green Fuels. Emirates Airlines must step forward and set a lead because it is a global airline leader.

Emirates Airlines has ordered more Airbus A380 planes because these are the quietest aircraft. It wants to ensure that its business doesn’t cause noise pollution. On the other hand, Emirates Airlines is using recycled materials such as plastic bottles. It is also signing agreements with bio-fuel suppliers worldwide.

To close, the PESTLE Analysis of Emirates Airlines features the different components which affect its business growth and performance. This understanding helps to critically analyze the business factors for any brand.

We are thankful to the Content and Research Team for writing this technical discussion. We have tried to add political, economic, social, technological, legal, and environmental factors while composing this discussion for the ease of readers.

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SWOT Analysis of Emirates Airline | Fly Emirates, Fly Better

by Shamsul January 20, 2022

SWOT Analysis of Emirates Airline

Dubai UAE is the headquarters of the Emirate Group. Emirates is the UAE’s biggest flag carrier that is operating globally. It is the parent organization of Emirates Airlines. Dubai’s imperial family entered in Airline business in March 1985. Emirates Airlines’ principal services and products are; Lounges, Ground Facilities, In-flight entertainment, Chauffeur-drive, ICE, providing food, lodge, and numerous others. Notwithstanding, its principal auxiliaries are Congress Solution International, Emirates Holiday, Emirates Tour, and Arabian Adventure. Let’s read SWOT Analysis of Emirates Airline.

Company Background

Company: Emirates Airline

Industry: Airline

Founder & CEO: CEO: Ahmed bin Saeed Al Maktoum (1985–)

Founded: March 25, 1985, Dubai, United Arab Emirates

Headquarter: Dubai, United Arab Emirates

Present President: Tim Clark

Annual Revenue: approximately 36 billion Emirati dirhams (2020-2021)

Net Income: AED 21.7 billion

Employees: 59,519 (March 31, 2020)

As indicated by Emirates Airline, earned 25.1 billion dollars in 2020, which was among the highest revenue generated by any airline. Out of which, the overall profit of the service was 288 million dollars. Nonetheless, the organization has utilized around 59,519 workers to deal with its overall tasks.

The top rivals of Emirates Airlines are Etihad Airways, British Airways, Jet Airways, Delta Airlines, Air France, Qatar Airways, Qantas Airways, Virgin Atlantic, American Airlines, Turkish Airlines, Lufthansa, Malaysia Airlines, Air India, and Singapore Airlines.

Today, we will examine the SWOT analysis of Emirates Airline. It will examine the elements such as internal and external affecting one of the world’s driving carriers. Here is the swot analysis of Emirates Airline.

Strength of EMIRATES AIRLINE

Customer Care:

Emirates Airline offers in-flight diversion amusement, entertainment lounges, airport chauffeur drive, and lodge facility. Emirates Airline gives brilliant client support to ensure that clients have the best experience on board.

Marketing:

Emirates Airline uses different web-based media sources for marketing, advertising, and promotion.

Like Google, LinkedIn, Instagram, YouTube, Facebook, Twitter, and different channels like print media, radio and TV. The group has put a great deal of focus on marketing.

Destinations:

Emirates Airline has a large fleet carrier of 300 airplanes. Nonetheless, the organization offers travel services in 150 cities and 157 travel destinations in 80 countries. Before the Coronavirus pandemic, the service was working as 3600 flights in a week at the main terminal 3 of the Dubai International Airport.

Loyal Customers:

Emirates Airline has set up an extremely enormous data set of its regular clients through consumer loyalty and different options of information collection. Emirates Airlines hopes that satisfied customers will surely come back and like to travel with the airline in the future.

Oil-Rich Country:

Dubai is among the oil-rich countries. Dubai’s imperial family is the proprietor of Emirates Airlines. It implies that the organization has an abundance of limitless oil stock. As such, the organization doesn’t need to stress over the fuel cost.

Solid Backing:

Dubai’s administration has turned into a center point of the Asian business and corporate market with plenty of assets. When an airline has solid power backing, it could confront numerous financial emergencies like Coronavirus.

Brand Value:

As indicated by Statista in a report, the brand worth of Emirate Airlines was 6.3 billion dollars in 2020. Emirates Airline has marginally tumbled from 6.8 billion due to covid-19 lockdowns. Nonetheless, the company is positioned at the 4th rank as far as the brand worth of the world’s driving carriers. United, Delta, and American Airlines have the world’s most elevated brand values.

Sponsorship

Emirates Airline has supported many tasks like installing cables over the River Thames, London. It was one of the prominent supporters of games like FIFA World Cup, ICC Cricket World Cup, Australian Turf Club Autumn, Indian Premier League, Super League Rugby League, Scottish Junior Football Association, and others. This is a marketing strategy that intensifies the brand recognition of Emirates Airline and makes it a prominent option for travelers participating in these games and events.

Emirates Airline Weaknesses:

High Expenses:

The airline industry has become extremely competitive lately. Along these lines, Emirates Airline needs to contribute a ton of assets to keep up with its market position.

Onward Moving Traffic:

Emirates Airline has a business relying on international travelers. It has a small proportion of travelers from the local area. The vast majority of the travelers of Emirates Airlines are foreigners and outsiders who either visit UAE for tourism or for jobs. At the point when the pandemic of Coronavirus began, they all delayed their travel plans.

Not In the USA

The USA is the leader in this industry and the world’s biggest rich customer market. In any case, Emirates Airlines doesn’t appear to ground its services in the US. This low level of presence in the US market is a significant shortcoming of the organization.

Opportunities for EMIRATES AIRLINE:

Partnership:

Emirates Airline must make partnerships and alliances with other airlines in various business sectors. It would assist Emirates Airlines with extending its geographic market and draw in a ton of new travelers.

More Destinations:

Emirates Airline is at present offering 157 destinations in 80 countries. Presently, the organization should add more areas to its course list. It would build airlines’ market reach and impact in the global market.

New Fleet:

It’s no question Boeing and Airbus are both the world’s top carrier producing options. Emirates Airlines has a current fleet that contains Airbus380 and Boeing777. Presently, the organization should purchase airplanes from others manufacturers. It would lessen the risk and increment the trust of clients.

Threats of Emirates Airline:

Regulations:

Since Emirates Airline belongs to the Middle East, the carrier is confronting trouble making its name in the American and Western markets. It’s not simply restricted to social phobia or cultural difference; Emirates Airlines likewise needs to confront extreme regulations.

Contest in the Middle East:

Emirates Airline in the Middle East has become exceptionally popular. Numerous local and foreign avionics groups are giving air-travel facilities. Emirate Airlines contributes a great deal of assets to keep up with its market position. It has diminished the overall productivity of this group.

Pandemic:

UAE is an oil-based economy that also relies on tourism. The Coronavirus pandemic and developments in the eco-friendly sector have affected both businesses. This airline has been declining from that point forward.

Emirates Airline SWOT Analysis Conclusion:

After a careful investigation of the Emirates Airline SWOT Analysis, we have inferred that Emirates Airline is without a doubt one of the world’s famous air carriers. The worldwide monetary crisis, expanding support cost, legalities, and modern traffic are a portion of the primary difficulties. Emirates Airline ought to grow its market by making partnerships and alliances in the other business sectors to resolve these issues.

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Subway PESTLE Analysis Assists in Added Business Growth

by Shamsul January 20, 2022

Subway PESTLE Analysis Assists in Added Business Growth

PESTLE Analysis of Subway examines the brand on its business strategies. Subway PESTLE Analysis inspects the different factors such as external like Political, Economic, Social, and technological (PEST), which influences its business alongside environmental and legal variables. The PESTLE Analysis features the diverse extraneous situations that influence the brand’s activities.

PESTLE analysis is a basic structure for organizations like Subway, as it assists with understanding business sector elements and further develops its business persistently. PESTLE analysis is additionally known as PESTEL analysis.

Let’s begin the Subway PESTLE Analysis:

Political Factors:

The political elements in the PESTLE Analysis of Subway can be clarified as follows:

Subway works across the globe in more than 100 countries, and staying aware of the different guidelines traversing across these nations is a significant undertaking that the franchisee needs to deal with. These are the progressions that straightforwardly influence their day-by-day activities. One such element is the wellbeing, security, and food sterilization rules that contrast from one country to another. A significant model that impacted the activities of Subway was Brexit. It prompted vulnerability about the eventual fate of different restaurants and fast food chains as the progressions that would happen to assume the division went through were questionable.

There are strict principles connected with obtaining meat items that influence Subway’s business in specific areas. This should be remembered that every one of the principles and guidelines is interlinked. These guidelines additionally influence the simplicity of carrying on with work. Suppose the guidelines in setting to cheap food joints are mind-boggling and assume the area is questioned or upset. In that case, individuals selected to take up a chain will be less.

Economic Factors:

Following are the main financial elements in the Subway PESTLE Analysis:

With expanding costs of natural resources and keeping its menu reasonable, Subway needs to foster proficient techniques to amplify its benefits.

With the decline in expendable wages in countries with inflation risk, the odds of acquiring higher benefits are lower. Subsequently, focusing on nations that have a more steady economy is significant. Economically affected nations like the US in 2007 are an awful region to work in. Higher is the joblessness rate in a locale, more straightforward it is to get modest work. A significant mishap will happen to assume Subway neglects to stay aware of the quickly developing pattern and new business rivalry. Focusing on regions where individuals are more conscious about health and spend more on a bite is where the subway ought to be. Areas with lower corporate duty, for example, India are locales where the higher benefit is a benefit. Therefore, Subway must understand the value of financial factors while developing its business strategy in different countries.

Social Factors:

Following are the social variables affecting Subway PESTLE Analysis:

The different convictions about inexpensive food being undesirable were washed off by Subway. By giving one of its sorts, low calorie ‘Subs’, the cheap food tie figured out how to acquire speedy prominence. There are certain convictions that Subway needs to deal with. Their necessities rather than accessibility should serve certain nations that trust in Halal meat over the others. Relationship with contention can corrupt any name as was the situation with Subway, when its representative, Jared Fogle, was indicted on sexual harassment charges. This prompted a decrease in deals across different districts. Staying aware of the forthcoming generation requirements for decisions is a significant assignment that Subway needs to attempt. In the event that this step doesn’t occur persistently, the plan of action that Subway has made throughout the long term will go for a throw.

Technological/Innovative Factors:

The innovative variables in the PESTLE Analysis of Subway are here:

In the present occasions, innovation is a significant deciding component for the achievement or unsuccessfulness of a business. Over the course of the years, Subway has figured out how to catch these changing patterns and has adjusted very well. A web-based media presence is an unquestionable requirement. It has different online media handles where it regularly posts about the most recent updates, just as food menus, customer relationships, etc. It likewise has an online office where one can see every one of the accessible variations just as benefits of different items that are accessible over the counter. Subway also runs a client dependability program alongside a chatbot for individuals to put in their online requests. They engage with testing booths in selected areas across the world.

Subway should attempt to wander into mechanical technology. Such as robotics with additional improvement in technology to acquire an upper hand.

Legal Factors:

Following are the elements in the Subway PESTLE Analysis related to laws:

While working across the globe and dealing with such an enormous number of nations, the odds of getting hit by a claim always remain high. Subsequently, to keep away from significant harms, the franchisor, just as the franchisee, should be side by side with the evolving legalities. There are different heads under which the laws are applicable to an organization. Yet the significant ones that the organization needs to deal with are work laws and packaging. Franchisee laws connected with contract recharging, consistency of cleanliness of laborers, and appropriate garbage removal are also important. The legalities should show the nutrition information in different areas.

Alongside showing, giving the right substance is likewise significant. The new scandalous case by Subway on CBC was a stunt to lessen its impact of being trapped in providing soy protein rather than chicken. Cleanliness is vital in European nations and the United States while in different nations, the tension is less. Consequently, keeping this large number of guidelines is vital for Subway’s business.

Environmental Factors:

This Subway PESTLE Analysis will discuss environmental components influencing its business.

The system of Subway is focused on giving a wide scope of food decisions while lessening its environmental effect and making a positive impact on society. Dealing with IPC (Independent Purchasing Company), Subway focuses on making more feasible choices for energy-effective stores and packaging and embraces water conservation. Subway also calculates the total fuel it burns to manufacture, storage, supply, and other tasks. This is essential to make the business environment friendly. The tissue and paper towels across Subways are 100 percent recyclable.

They print napkins utilizing water-based inks or soy-based inks. Also, surprisingly the reused plastic they are using now is 25% and that can be further processable. A significant issue that the subway may confront is the consistent packaging material with the main principles across its different franchises. There is a need to ensure that all the materials are in use for business are eco-friendly with more recycling options.

The Idea of ECO Cafés:

The idea of ECO cafés taken up by different franchisee owners is one more step towards establishing a more practical scenario. Since Subway works across 100+ regions, the need to follow the different changes to make in the natural strategies across these nations is a huge task. Just through consistent observing and changes, Subway will actually want to make arrangements productive enough for all its franchisees.

To close, the above PESTLE Analysis of Subway features the different components which impact its business growth and prominence. This understanding assists with assessing the criticality of business factors for any brand.

We are thankful for the corporate services, data organizations, and independent survey facilities to provide useful information. This PESTLE analysis of Subway wraps up the information present in different sections. It is a great choice for food chains and restaurant businesses looking to establish a successful journey. Subway is a great example for these businesses because of its superb management in a reasonable budget.

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Subway SWOT Analysis – Global Quick Service Restaurant

by Shamsul January 16, 2022

Subway SWOT Analysis | Global Quick Service Restaurant

This is Subway SWOT Analysis. Find more details on this analysis in the discussion below.

Company Background

Company: Subway

Industry: Restaurant

Founder: Fred DeLuca, Peter Buck, Carmela DeLuca

Founded: August 28, 1965, Bridgeport, Connecticut, USA

Main Headquarter: Milford, Connecticut, USA

Type: Private

CEO: John Chidsey

Products: Submarine sandwiches, Pizzas (some locations), Salads

Number of Location: 37,540 (Jun. 2021)

Area Served: 100+ countries

Number of Employees: 410,000, including franchises, (2021)

Net Worth: As of January 2022, Subway’s net worth is an estimated $15 billion

Revenue: US$16.1 billion (2019)^[4]
US$10.2 billion (U.S.)^{[5] (2021}

Main Competition:

Wendy’s Company, Yum! Brand Inc., McDonald’s Corporation, and Burger King Worldwide Inc.

Subway is a popular fast-food chain in America. It has headquartered in the USA and it offers salads and submarine sandwiches. Doctor Associates, Inc. owns this largest single-brand food chain. Subway is the second-largest operator in the world after Yum! Brands. Get more details about Subway and its SWOT Analysis here.

SWOT:

Subway SWOT Analysis
Strengths	Weaknesses
Excellent degree of customization.Biggest restaurant offering fast foods in the world. Promotional and marketing strategies.Option of healthy meals. Associations with American Heart Association and British Heart Association. Franchises own all the restaurants. Low cost of startup.	Usually uses cheap interior designs for outlets. High worker turnover. Stores are not consistent in the matter of service delivery. Too much pressure on franchises.
Opportunities	Threats
Upgrading demand for quality and healthy foods. Home meal delivery. Making new customer groups and changing their habits. Drive-Thru option.	Saturation in developed countries. The trend toward organic and healthy eating. Local fast-food chains. Currency rate changes. Legal cases against Subway.

Subway SWOT Analysis

Strengths | Subway SWOT Analysis

Excellent degree of customization: Clients always love to select and the more options they can get about their shop the happier they are with it. This fast food chain is a best option than any other restaurant in this industry because it offers meal customization.
Biggest restaurant offering fast foods in the world: Yes, Subway is among the top restaurants with the largest network of fast food chain. It currently operates nearly 38,000 restaurants. It is present in more than 99 countries and it offers a strong competition to McDonalds and other fast food restaurants in the world.
Promotional and marketing strategies: It always utilizes best marketing and promotional strategies. The only purpose of these efforts is to attract more customers. Subway grows its customer base with the help of special offers. For example, it offers food deals starting from $5 only.
Option of healthy meals: It presents wide range of high quality but low calorie foods. Subway always ensures nutritious and fresh quality in order to deal with the health standards. It is hard to find such quality anywhere. Subway is more interested to design food menus according to the latest trend of healthy and organic eating.
Associations with American Heart Association and British Heart Association: Subway has gotten endorsements from the two associations that it serves best dinner choices, which is an incredible certification and separates the business from other drive-through eateries.
Franchises own all the restaurants: Subway doesn’t claim any cafés itself so it encounters less danger. It can focus on its endeavors on promoting and developing the franchises.
Low cost of startup: One reason behind such a high development pace of Subway stores is the low cost of startup. Subway stores are more modest and require less cash for leasehold gears and improvements.

Usually uses cheap interior designs for outlets: Subway eateries don’t have a superior interior plan and quality that would invite everybody to remain and feel easy than in the contender’s cafés.
High worker turnover: Subway Sandwich Artists work is a low talented but a low paid work. It offers high worker turnover and low performance, which builds extra expenses and adds overall expenses of Subway.
Stores are not consistent in the matter of service delivery: The business battles to guarantee steady management and quality all through it stores thus a dining facility in one store might satisfy a client when another may neglect to do that.
Too much pressure on franchises: In spite of the way that Subway neglects to guarantee predictable quality all through the stores it applies a lot of pressure on its franchisees. This is done through the agreements that are more ideal for the franchisor. An illustration of such high control is seizing of franchisee cafés assuming the later one is battling to keep them open.

Opportunities | Subway SWOT Analysis

Upgrading demand for quality and healthy foods: It’s an option whereupon Subway develops itself and could additionally present low salt, low fat, and more nutritious menus.
Home meal delivery: Subway could take advantage of a chance of conveying food to home and expand its access to clients.
Making new customer groups and changing their habits: Changing client propensities address new requirements that should be met by organizations. Up to this point, Subway has just a single variety of food chain, distinctive to its close rival Mcdonald’s, which attempts to fulfill the customer’s requirements by accessing them with the help of modern services such as McExpress, McStop and McCafé.
Drive-Thru option: McDonald’s now offers just drive-through cafés, which is an incredible chance for Subway to hop.

Threats | Subway SWOT Analysis

Saturation in developed countries: The cheap food market in Europe and America is stuffed by so many drive-through chains and this ends up being a risk to Subway as it thinks that it is difficult to establish in the developed countries.
Trend toward organic and healthy eating: Subway’s menu offers better selections of options, while the rest of menu is high in salt, contains numerous calories and is joined by soda beverages. Clients who care about their food and health might quit for something different rather than Subway.
Local fast food chains: Regional drive-through restaurants can offer better food and menu that precisely address local tastes.
Currency rate changes: Subway gets quite a bit of its revenue from foreign activities. That income must be exchanged with dollars and may influence the organization’s benefits, particularly when the dollar surges against different currencies.
Legal cases against Subway: Subway has been involved and lost a couple of claims in the past in view of the poor strategies in regards to franchisees performance. Claims are costly, tedious and harm the company’s image.

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SWOT And PESTLE of Lenovo – Get to know Organization’s Vision

by Shamsul January 15, 2022

SWOT And PESTLE Analysis of Lenovo

Lenovo Organization Overview

Lenovo belongs to the Chinese Fortune Global 500 organization carrying on with work in 180 countries and has a strength of 71,500 workers (2021). The organization’s vision is to make personal gadgets that individuals are inspired to claim, a culture that individuals have desires of joining, and a believed business that is regarded around the world. There are two business sectors: Intelligent Devices Group manufacturing PCs, Mobiles, Smart gadgets, and the Data Center Business Group delivering management, servers, programming, administrations, and capacity building. The Incubator Group and Lenovo Capital uphold the organization and drive development through interests and incubation in new businesses that are in arrangement with the Intelligent Transformation procedure of the organization.

Company: Lenovo Group Limited

Romanized Name: Liánxiǎng Jítuán Yǒuxiàn Gōngsī

Native name: 联想集团有限公司

Founder: Liu Chuanzhi

Founded: 1 November 1984; Beijing

Main Headquarter: Beijing, China

Sub Headquarters:

Hong Kong: global headquarter

USA: Operational headquarters Morrisville, North Carolina

CEO: Yang Yuanqing (Chairman and CEO)

Products: Personal computers, servers, smartphones, supercomputers, printers, scanners, peripherals, televisions, storage devices

Type: Public

Number of Employees: 71500 (2021)

Revenue: US$60.742 billion (2021)

Net Income: US$1.313 billion (2021)

Lenovo’s keen gadget sector drives the organization’s solid management even in 2021. Under this business category, Smartphone and PC Devices are the star units that keep on generating gigantic benefits. Lenovo holds a portion of 24.4% of the Personal Computer industry holding its #1 status in PCs.

Additionally, Lenovo further developed by utilizing its advancement as exhibited in the release of ThinkBook Plus. This device offers a top cover e-ink display. The ThinkPad X1 Fold is a laptop having a foldable screen, and the world’s first 5G connectivity – Yoga 5G, in 2020.

Lenovo Group Mission:

Besides, the release of Motorola Razr in 2020 is a reemergence of the organization in the exceptional versatile category, continuous attention in the coming days. Lenovo’s corporate plan of action is hybrid and one more critical aspect of the organization. The plan of action is a blend of both organization-possessed creational abilities and unique plan makers that effectively develops imaginative items productively while making the control of item improved and supply network activities more compelling and simple.

Lenovo Group Mission is very clear and is to be the Leader. It also wants to be an Enabler of Intelligent Transformation. It has a USP or Unique Selling Proposition that contributes to being the world’s biggest PC developer by selling more units in 2021. Lenovo is likewise one of the biggest hardware organizations around the globe.

SWOT Analysis of Lenovo:

Lenovo is named as the world’s biggest PC Vendor, third-biggest cell phone organization, and one of the biggest hardware manufacturers internationally. Obviously, Lenovo’s main abilities present the organization with an upper hand over its adversaries. In this manner, the SWOT device assists with recognizing all interior and outside factors that impact the business and its tasks. The SWOT analysis reveals a conversation on the way that the organization expands on its assets to beat root risks and interior weaknesses in its large-scale scene. The analysis likewise provides relevant options in the outer sector. It can be consolidated to additionally reinforce the organization.

Lenovo remains as a top player in the PC and hardware manufacturing industry because of a portion of its faultless assets like a main situation in the PC market, enormous and creative item portfolio, broad openness in Chinese and other developing business sectors, uncommon advertising and appropriation procedures, solid items with practical estimating, and so forth.

Lenovo’s Versatile Business:

In any case, the organization needs an additional expansion on its assets to beat a portion of its inborn risks like the absence of brand discernment in large economies, successive item reviews, slow development of market share because of high rivalry, and copied items. Business developments, vital coalitions and management, entrance into more up-to-date markets, and more are useful learning experiences that let Lenovo win outside competition. Also, 2022 will keep on being a time of additional interest in Lenovo’s versatile business to animate current and future learning experiences in novel and rewarding business sectors.

Exceptional rivalry from global and nearby players, clone market, value wars, quickly evolving innovation, programming piracy, and so forth are dangers that can ruin Lenovo’s development and productivity.

Here is the Lenovo Group’s SWOT analysis with detailed analysis and findings:

Strengths	Weaknesses
Solid financial management across the group. International leader in the conventional PC industry. Successful initiatives for brand building.Geographically versatile revenue mix.Interest in supporting abilities as a manufacturer of end-to-end solutions. Changing conventional serve business into a diverse portfolio database setup.	Weak smartphone strategy compared to rivals. Data breaches and cyber-attacks.
Opportunity	Threats
Developing Smart Home industry globally. Options in database setups in India.Solid market ability to develop IoT business.	Trade rivalries and wars against China by the USA. Economical risks due to the international scale of operations.Disturbance in supply chain services, systems, and components. The risk associated with the management process and quality. Strong competition. Quickly changing trends in markets.

Here is the Lenovo Group’s SWOT analysis with detailed analysis and findings:

PESTLE Analysis of Lenovo

In 2021, organizations working in the electronic field are profoundly controlled by tech patterns like Virtual Reality, Internet Of Things (IoT), Augmented Reality, Machine Learning, Artificial Intelligence, and Blockchain. Consequently, organizations require a talented cutting-edge labor force having experience in the latest technological sectors. Subsequently, the PESTLE analysis is used to show a conversation on such patterns, variables, and exterior powerhouses especially political, economical, social, innovative, natural, and legal, their result on the PC and equipment industry and widely on Lenovo brand.

The PEST/STEEP/ PESTLE analysis report is a pictorial design to investigate the result of outside factors on the large-scale factors that impact the service of Lenovo organization. It is to be sure, a valuable method to concentrate on the effect of forces to be reckoned with Lenovo’s plan of action, business contextual investigation, market procedure, and development direction.

Evidence of Innovation:

Industry-based organizations are tested by worldwide economical elements that incorporate never-ending international vulnerabilities, shortages in the supply chains, and recently the flare-up of the Corona Virus. In any case, the eagerly awaited tech pattern of 2021 is evidence of innovation in the medical sector and the usage of 3D image technology. These points provide Lenovo with gigantic business options in cutting-edge prosthetics. Present in 180 countries, Lenovo is significantly impacted by different worldwide political and legal variables. Since Lenovo is settled in China it fundamentally needs to comply with the laws and guidelines imposed by the Chinese government for international and national setups.

Likewise, Lenovo should guarantee it follows both public and worldwide standards to control environmental contamination and decrease energy utilization. Especially the Chinese government empowers Green IT organizations that insignificantly affect the climate. The Lenovo holdings isopsophic index is under 30dB making it a Green IT service in the noise pollution sector. It takes up its natural and social obligation too severely and requests its network to follow something very similar. The organization utilizes bio-based materials like sugarcane and bamboo to decrease its package utilization, waste, and fossil fuel emission levels.

Find detailed analysis of the Lenovo Group and its PESTLE/STEEP/PEST analysis report:

Political	Economical
Influence of China-US trade conflict. The intervention of Chinese nationalist factors in business.	Global macroeconomic scenario.
Social	Technological
Expectations of Generation Z and Millennial.	Technological advancement in the latest gadget-friendly world. Intelligent transformation solutions.Strategic partnerships.
Legal	Environmental
Intellectual asset rights in the technology sector. Data privacy problems in this sector.	Sustainable packaging and transport. Corporate struggles to get sustainable development targets set by the UN. Facing the risk of climate change.

Lenovo Group and its PESTLE/STEEP/PEST analysis report:

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Pestle Analysis of FedEx 2022 | Get ingenuity For Better Business

by Shamsul January 15, 2022

Pestle Analysis of FedEx 2022

PESTLE Analysis of FedEx investigates the brand on its corporate strategies. FedEx PESTLE Analysis inspects the different elements like political, monetary, technological, social (PEST), which affect its business alongside legitimate and ecological elements. The PESTLE Analysis features the diverse exterior situations that influence the brand’s matter. In most cases, it delivers information about the basic elements such as corporate strategies, compliance to political setups, legal requirements, and labor laws.

PESTLE analysis is a system that is basic for organizations like FedEx, as it assists in understanding the business sector and its elements and further develops its business consistently. Readers who find such analysis interesting always prefer to have the PEST analysis because it is the best option to complete the research on financial, social, political, environmental, and other aspects. PESTLE analysis, also known as PESTEL analysis, deals with all these important factors.

Allow us to Begin the Pestle Analysis of FedEx :

Political Factors:

The political elements in the FedEx PESTLE Analysis can be clarified as follows:

FedEx works in 220 countries in the world. The political steadiness in every one of these locations is significant for their business to develop prosperously. Political instability has its own plague. It prompts financial chaos. Political or financial chaos is not a good sign for any investor. National or international investors always analyze these two factors deeply in order to find whether the conditions are normal or not. This analysis lets them find the best decision to invest the money in. On the other hand, this analysis tells them the right time or moment to appear or step back in the marketplace.

The entire inventory or supply network of the corporate sector gets hampered. The degree of defilement at each stage of the production network is also a significant component. The USA is the parent and significant market, the dollar exchange rate impacts business. Political circumstances like the Trade battle with China hampers business since FedEx has its activities present even in China. Government strength is important as well. Stable government prompts smoother tasks in business.

Economic Factors | Pestle Analysis of FedEx

The following are the monetary variables in the PESTLE Analysis of FedEx:

FedEx is an organization that does business in various countries.

The economic downturn that struck the world economy, like savage rainstorms, seriously affected business activities. The business has an exceptionally cautious watch over the trade rates since it works in various areas across the world. The rate of joblessness and the work laws control the strategic choices in the business. The significant base is in the US, and hence the national approaches, expansion rates, loan fees matter a ton.

Social Factors | Pestle Analysis of FedEx

Following social variables are important to discuss FedEx PESTLE Analysis:

Society is the main theme. The social scene and digital media are critical boundaries in the present 21st century. Each firm needs to have a socially capable situation in the general public. Each move they make must be anticipated with earlier reactions from the general public. The mentality of individuals shaping this general public, their schooling level, the philosophical development, different predispositions are a few basic social elements. FedEx has acquired a decent friendly image in the general public on account of the social causes it has done for. It was on the world’s 10 best organizations list as reported by FORTUNE. Up to now, FedEx has been running a social interaction setup that is not controversial for any observer. This is the real work behind the easy success of this courier service.

Technological Factors | Pestle Analysis of FedEx

The innovative variables in the PESTLE Analysis of FedEx are underneath:

Innovation is the main factor for success in each field of business in the present problematically competitive world. Adjusting to new innovation is important to have an additional edge over the contenders. FedEx has put abundantly in its useful innovation. Blockchain is an interesting innovation. It has incredible applications in different business fields, yet one of its significant applications is in FedEx’s supply chain, and this company has gained something similar. FedEx works with ‘the Blockchain in Transportation Alliance (BiTA)’ to see more proficient utilization of blockchain in the network.

The previous interest in innovation has given FedEx a solid economic result, and subsequently, they trust in contributing it.

Legal Factors | Pestle Analysis of FedEx

Following are the legal variables in the FedEx PESTLE Analysis:

With further developed innovations and the organizations’ considerable benefits, laws have also become stricter. Managing these organizations is similarly significant. Climate laws secure the climate. Various nations have their own arrangement of laws and FedEx needs to agree with particular laws. Safety and health laws, Consumer insurance, and online business are a couple of them. The security laws are severe in this industry. Information leak isn’t totally prevented until blockchain totally dominates; however, business is liable for the security and protection of the client and the things they transport.

Environmental Factors | Pestle Analysis of FedEx

In this FedEx PESTLE Analysis, we will discuss some environmental components influencing its business:

Money-related benefits are not the main objective of the organizations. They need to be perceived as environment dependable businesses. They need to fabricate a decent picture before their clients. Flights conveying merchandise need to utilize the traditional fuel. However, the on-street vehicles can be changed to electric modes. FedEx has started to install solar-oriented energy everywhere they work. This aids gain support of the public. In any case, more significantly it lessens the functional cost.

More trees are planted. Also, more activities will be paperless. There is a need to reduce the carbon footprint in order to deal with climate or global warming.

To close, the above FedEx PESTLE Analysis features the different components which affect its business management. However, this post assists with assessing the criticality of outside business factors for any brand.

This article has been investigated and created by the Content and Research Team. It has been evaluated and distributed by the Wise Lancer Team. This is only for educational purposes and academic use.

Get more details on the SWOT Analysis of FedEx and learn more about the strengths and weaknesses of this organization.

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SWOT Analysis of Nike and its Historical Success

by Shamsul January 14, 2022

Wise SWOT Analysis of Nike and its Historical Success

Nike is a famous American multinational corporation that manufactures fitness equipment, apparel, footwear, services, and accessories. Today, Nike is one of the biggest suppliers of athletic apparel and shoes in the world. It also manufactures high-quality sports equipment and fitness gear. Athletes, fitness freaks, and health-conscious people love to buy its products. This SWOT analysis of Nike will highlight its internal as well as external business environment that involves strengths, weaknesses, opportunities, and strengths. Let’s get started.

Background of Nike:

Company Name: Nike, Inc.

Founder: Bill Bowerman, Phil Knight

Company’s Former Name: Blue Ribbon Sports, Inc. (1964-1971)

CEO: John Donahoe

Founded: 1964

Area Served: Worldwide

No. of Employees: 73,300 (2021)

Annual Revenue: US$44,538 million (2021)

Net Income: US$5,727 million (2021)

The main purpose to conduct the SWOT Analysis of Nike is to define the successes story of Nike. It is one of the most popular sportswear brands in the world which sells top-quality sports apparel, shoes, and accessories. There are several sports stars associated with this brand such as Cristiano Ronaldo, Rafael Nadal, James LeBron, and Neymar. It has a strong worldwide presence and offers online services too. The company’s logo is the most renowned symbol in the world.

Time to Time Development of Nike:

1964: Phil Knight and Bill Bowerman founded Blue Ribbon Sports, Inc.

1971: The Company cancels affiliations with Onitsuka Tiger.

1971: The name of the company changed to Nike.

1984: Micheal Jordan Signs a deal with Nike and they launched Air Jordan Series.

1990: The Company opens its first outlet in Portland.

2002: Nike acquired Hurley, a surf-apparel company.

2004: Nike acquired Converse.

2012: The Company becomes the first supplier for NFL apparel.

2015: The Company becomes the supplier of the NBA.

SWOT Analysis of Nike:

With this SWOT analysis, Nike can easily identify its strengths, current market scenarios, latest situations, and threats present in the market. This article will help them how to tackle these problems and exploit opportunities.

Strengths of Nike – SWOT Analysis of Nike

For any company, it is important to identify its strengths. In the case of Nike, it is really crucial as it can help the company to stay on top and gain a stable position in the market. Here are some prominent strengths of Nike:

When it comes to brand perception, Nike is one of the leaders. It has high brand awareness as it is associated with several organizations, sports events, and athletes.
As a global sports apparel brand, the company has such a strong consumer base. They manufacture low-cost sports products and due to this reason they have affordable product portfolio. It is a big strength of Nike as they can attract customers easily.
The company has strong hold on its online and retail business. The company is making huge profit from both sources such as outlets and online.
The advertising strategy of Nike is really robust and they know how to run ad campaigns. Due to this reason, they are associated with celebrated athletes, sponsors, sports events, and more. These people praise the company due to their high quality products.

Weaknesses of Nike – SWOT Analysis of Nike

Just like any international brand, Nike has its own weaknesses in different segments. But, they can eliminate these weaknesses by working on their strengths. They can enhance their services and products to remove negative things. Here are some major weaknesses of Nike:

As Nike is a global company, but it is heavily dependent on North American markets. Most of its revenue comes from these markets. They need to expand their reach to other regions of the world such as Asia, Africa, and Europe.
The major weakness of Nike is that its retailers get higher margin cuts.
The company is facing many lawsuits, controversies, and scandals. They are facing sexual harassment issues, poor labor conditions, and other problems. These things continuously affecting the repo of the company internationally and they can face loss in terms of sales and profits due to these reasons. This kind of thing can lead to negative criticism which is unbearable for the company at this stage.
Outsourced manufacturing is one of the biggest weaknesses of Nike. They need to improve the strength and quality of their workers just to increase brand awareness. Due to the poor outsourcing, the quality of Nike products is not same in every country.

Opportunities for Nike – SWOT Analysis of Nike

In sportswear, Nike is a top-notch brand that is hard to beat. They have a lot of growth opportunities that can take the company to the next heights. Moreover, the sportswear market is really dense and competitive, so Nike should take some important decisions to take the competitive edge. Here are some growth chances for Nike:

Nike is associated with several non-profit organizations. These organizations can help the company to build products from recycled materials. For this purpose, the company should fortify its R&D department. They can produce sustainable products to support nature and brand as well. In this way, the company can take the attention of environmentalists.
By developing a dedicated workforce, Nike can tackle poor labor management and sexual harassment issues. They should create a legal team to defend the brand at any level. They can’t afford scandals, lawsuits, and controversies at this level.
By creating AR/VR-related items, the company can give a solid boom to its online business.
The company doesn’t have strong sunglasses section and sports glasses. By introducing this segment, they can increase their product portfolio.
They should expand their business to other parts of the world. But, they must maintain the quality of products.

Threats for Nike – SWOT Analysis of Nike

Sportswear is a highly competitive market and there are several threats associated with it. By identifying the threats, Nike can take a competitive edge and expand their business. Here are some threats for Nike that they should address as soon as possible:

The pandemic has created several negative impacts on the companies especially Nike. Nike is dealing with the aftershocks of Covid-19 in terms of low revenue and sale. This thing can disrupt the growth of the company.
There are so many counterfeit products in the sportswear market that continuously affecting the profitability, brand image, and growth of Nike. It is hard to identify and control these counterfeit products or brands. It is one of the major threats for the company.
The sportswear market is highly competitive due to the presence of several giants. They are delivering better quality products at cheaper rates. In this way, they are attracting more consumers and threating the consumer base of Nike.
The company’s image is under constant danger due to the sexual harassment accusations. On the other hand, poor labor management, outsourcing manufacturing, and poor product quality are some of the major threats.

Conclusion:

This SWOT analysis of Nike specifies the major issues of Nike. The company should address these issues to take the competitive edge. But, Nike is really doing fine in this competitive environment in terms of annual revenue and awareness. Here are some of our honest recommendations:

The company should pay attention on the quality of products. Due to the outsourcing, they don’t have same product quality in different countries. They must ensure that the products they are selling are top-notch.
Nike must tackle accusations and negative criticism wisely. These things can destroy the name of the brand, so they must investigate any kind of matter thoroughly and take appropriate action to resolve issues.
Many fake brands are selling same products in the market. Nike’s product portfolio is really limited. They should increase their product portfolio by adding new fashion lines. They must manufacture and develop unique sports products to give competition to counterfeit brands.

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