TOPIC- Pestle Analysis of Germany
ACADEMIC YEAR- 2012/13
Date:- / /2013
PESTLE Analysis of Germany
Overall, Germany is a stable innovation driven economy with a strong democratic system and a highly competitive economy. The aging population as well as the European sovereign debt crisis pose current and future risks to the development of the country. The very sophisticated business sector and the well-developed technical infrastructure sustain Germany’s innovativeness and competitiveness.
Regarding Cold Stone, we still value the benefits of operating in Germany higher than possible problematic factors. With the unique concept of Cold Stone, we believe it will be able to succeed even in light of the high local competition in Germany.
In addition, EU regulation will be majorly affecting Cold Stone when operating in Germany ensuring equal treatment in the food industry across Europe for Cold Stone and its competitors.
* Strong federal republic (Germany is divided into states and municipalities, but final authority lies with federal government)
* Robust democratic setup
* Elections considered fair and transparent (high rank in indicator “Voice and Accountability” in Worldbank Worldwide Governance Indicator)
* Benefits from being member of the EU (free trade agreements etc.)
* Many of the decision relevant for Cold Stone (or the food industry as a whole) are made on the European level
* Goal to minimize ecological footprint (garbage, water, energy, light etc.)
* Increasing international role within the EU, with US and NATO (major contributor to EU and UN)
* Tax regulations and tax rates perceived as one of the most problematic factors for doing business (WEF, 2012)
* Rigid labor market... [continues]
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