International Journal of Economy, Management and Social Sciences, 2(2) February 2013, Pages: 31-36
International Journal of Economy, Management and Social Sciences
PEST Analysis: The case of E-shop
Dimitrios Nikolaou Koumparoulis
Full-time Professor of Economics and Management, Universidad Azteca – Mexico. AR TIC LE INF O
AB STR AC T
PEST analysis stands for "Political, Economic, Social, and Technological analysis" and describes a framework of macro-environmental factors used in the environmental scanning component of strategic management. At this paper we study the case of E-shop, a private company in Greece, illustrating the reasons why a company should work on pest framework.
The author would like to dedicate this paper to Mr. David Scott and his family.
© 2013 Int. j. econ. manag. soc. sci. All rights reserved for TI Journals.
In the new economic environment that has emerged as an impact of the recent ‘crisis’, the complexity of each industry forms a demanding context that affects consistently both the internal and external environment of organizations. As a result, the majority of the firms need to maintain their competitive advantage. However, a firm have to constantly increase the value of their products offered to clients in order to sustain their competitive advantage (Barney, 2008), as well as being profitable in order to exist (Egan, 1998). The industries can be described as a set of external and internal environment so, every firm is affected by external environment such as the market, client, etc and the internal environment including the employees of the firm, contractors, sub-contractors, suppliers etc. (Kelly and Bowles, 2006). The key research question is to investigate what are the forces affecting the organization’s macro business context. The purpose of the study is practical and will be conducted in order to examine the forces affecting the organization’s macro business environment. For confidentiality reasons, the real name of the company will not be mentioned. ‘A’ company will be the pseudo name. The results of the study will provide an insight for ‘A’ company’s external environment. In the second chapter of the study which is concerned with the literature review a bibliography research including books and up to day journals, will be carried out in which definitions and theories of change and change management on internal and external environment will be investigated. The third chapter of the study will investigate the methodology to present the firm. A case study will be investigated through this company. In the conclusion, the results that will be produced from the research and bibliography search will be developing. Afterwards, a list of references is indicated, including all books, up to date science papers and websites that were used in this assignment.
The sales of computers towards the Greek market are collapsing for the last three months of 2011. During the Christmas Holidays period, which usually is the higher in sales, 191.578 pieces were sold, while last year 293.182 pieces were sold. The sales are reduced by 34.7%. The local PCs market situation is obvious by regarding the sales of information systems towards the corporations. The information systems in the past were the development engine of the sector, while today are the break. During the last four months of 2011, 69,000 computers were sold for professional purposes versus 119,000 computers during the last four months of 2010. The sales decrease was 41%. The end users market showed greater degree of resistance, as the sales were decreased by 30%. The numbers of this category were 212,000 computers during the last four months of 2011 compared to 173,000 computers during the last four months of 2010. Regarding the level of...
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