Essay on Pest Analysis of Textile Industry

1213 Words Oct 8th, 2012 5 Pages
PEST ANALYSIS A PEST (Political, Economic, Social and Technological) analysis is a major part of the environmental scanning section of strategic management and it is used by companies during market research and strategic analysis. Using a PEST analysis helps a business to understand various macro environmental factors that they need to take into consideration when determining the decline or growth of a particular market. What does PEST stand for? Political – this refers to the ways in which the government can intervene in an economy in terms of environmental and labor laws, tariffs, trade restrictions and tax policies. It also shows how a government can influence …show more content…
It is important that the company must operate in compliance with the social systems in order to gain good reputation and effective public image. On the other hand, cultural aspects is equally essential, in order to understand the various needs of different individuals that belongs to different cultures.
- Population growth rate
- Age distribution
- Career attitudes
- Consumer behavior
- Religion and culture itself
• Technological Aspects
The complexities of achieving business success through increased efficiency, effectiveness and competitiveness, combined with innovative applications of modern technology, has heightened the awareness of both technology and business managers towards more strategically oriented approaches for planning and management of any industry. Hence, it is important that industry must be able to give consideration to the technological aspects. - Distribution and communication channels
- Technology incentives
- Automation
- Rate of technological change
- Environmental and ecological aspect
- Barriers to entry
- Production level
- Outsourcing decisions

Conclusion:
Political stability. Govt. should apply sustainable policies for the beneficial of the Industry. Government Initiatives:
Government has taken the following initiatives to uplift the Textile Segment: 1. The Government has

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