SWOT and Pestle Analysts
Question :
Complete a PESTEL Analysis to assess environmental factors and their impact on the marketing mix.
Complete a SWOT analysis to assess environmental factors and their impact on the marketing mix.
Based on the attached business plan
Answer :
PESTEL Analysis
PESTEL analysis is a very significant framework that is used by companies to analyze their external business environment so that they can identify their impact on the business and develop strategies to mitigate their impact. Here, the PESTEL analysis of Brew & Co has been done to analyze its external environment and its impact on the marketing mix.
Political factors
Brew & Co operates in a politically stable country that will benefit the organization to function smoothly and achieve a high rate of growth and development. There are less crime and corruption in the country that will also benefit the organization (Pan et al., 2019).
Economic factors
Economic factors are also favorable for the growth and development of Brew & Co because the economy is continuously progressing. However, the economy faced negative growth recently but the high per-capita income of the people will help the organization to function effectively.
Social factors
Social factors are highly beneficial for Brew & Co because most of the people in the country love beer. They prefer branded beer over other drinks. Apart from this, the friendly nature of the people is also an advantage for the organization.
Technological factors
Technology has a significant impact on the organization but the organization has an advantage in this field as well because of the availability of advanced technology (David, 2018). Brew & Co can make use of advanced technology to boost up its growth rate.
Environmental factors
Brew & Co has to adhere to the guideline of the government in order to reduce its impact on the environment. However, the CSR activities of the organization show that the organization is concerned for the environment and it trying to reduce its impact on the environment.
Legal factors
Brew & Co has the advantage of simple and easy to follow rules and regulations of the government. However, the organization should adhere to the rules and regulations to avoid legal consequences.
SWOT Analysis
SWOT analysis is also an important tool that helps companies to analyze their strengths, weaknesses, opportunities, and threats.
Summary
The SWOT analysis shows that the organization has the potential to grow and develop rapidly. The brand name and brand portfolio are the biggest strength of the organization. However, there are several weaknesses that can affect the performance of the organization. The organization can also leverage the opportunities available to it to expand its business significantly but intense competition may hamper the growth and expansion of the business.
The organization has to focus on demand patterns and changing consumer behavior towards the product to design its marketing mix. The marketing strategies of the organization are highly successful but it should continuously focus on promoting its new innovative product as there is a lack of regular supply of the innovative product. The external business environment of the organization is favorable for the business and hence marketing mix should be designed to target the potential customer of the organization based on their taste and preference.
References
David, J. (2018). PESTEL Analysis of Australia. Howandwhat. Recuperado de https://www. howandwhat. net/pestel-analysis-australia.
Gürel, E., & Tat, M. (2017). SWOT analysis: a theoretical review. Journal of International Social Research, 10(51).
Pan, W., Chen, L., & Zhan, W. (2019). PESTEL analysis of construction productivity enhancement strategies: A case study of three economies. Journal of Management in Engineering, 35(1), 05018013.
