PEST Chart

PEST Analysis template: PEST Chart (Created by InfoART's PEST Analysis maker) Box Style PEST Analysis Template

PEST analysis is a method used by strategic consultants to help companies assess the external macro environment. It refers to the analysis of the macro environment (macro environment, also known as the big environment, refers to the various macro forces affecting various industries and enterprises). Different industries and enterprises according to their own characteristics and business needs, the specific content of macro environmental factors analysis is also different.

  1. Political factors - Political environment refers to the political forces and relevant laws, regulations and other factors that have actual and potential influence on the organization's business activities. It includes the social system of a country, the nature of the ruling party, the guidelines, policies and decrees of the government, as well as the laws and regulations formulated by the government that are binding on the operation of enterprises.

  2. Economic factors - Economic environment mainly includes macro and micro two aspects.

    - Macroeconomic environment refers to a country's population and its growth trend, national income, gross national product and its changes. The level of national economic development that these indicators can reflect and speed.

    - Microeconomic environment refers to the income level, consumption preference, savings status, employment level and other factors of consumers in the area where the enterprise is located or the service area. These factors directly determine the company's current and future market size.

  3. Socio-cultural factors refers to the population environment and cultural background. Population environment mainly includes population size, age structure, population distribution, ethnic structure, income distribution and other factors. Cultural background includes the educational and cultural level, religious beliefs, customs, aesthetic standards and values of the residents of a country or region.

  4. Technological Factors include not only inventions and creations that cause revolutionary changes, but also the emergence, development trend and application prospect of new technologies, new processes and new materials related to enterprise production.

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