Marketing facroes
http://highered.mcgraw-hill.com/sites/dl/free/0073529931/782262/Chapter03.pdf
1. PEST Analysis:Political Factors:The laptop and PC industry is expected to grow at a faster rate in developing countries comparedto the developed countries. Therefore, changes in government policies in developing countrieslike India and China can affect the potential growth rates in their markets. For instance, theremoval of import duties on laptops in India in 2005 was one of the factors that resulted in agrowth of 94% in laptop sales in 2005 [6]. Increasing focus on the environmental impact of high-tech trash has lead to more stringent environmental regulations on the electronics industry such asthe RoHS (Restriction of Hazardous Substances) and WEEE (Waste Electrical and ElectronicEquipment) Directive. The additional testing and certification involved directly affect the supplychains for laptop and PC manufacturers, resulting in increased costs. For instance, in Canada, theenforcement of the WEEE Directive will increase the cost of computers by $15 [7]. The increaseeither affects the consumer or reduces profitability for manufacturers.Economic Factors:The global economy influences various different factors that affect the growth of the PC industry.Business capital spending for small and large corporations, resulting in reduced demand for PCs.Gartner, Inc. forecasts a decline of 3.8% in global IT spending, of which computing hardwarespending is expected to decrease by 14.9% in 2009[8]. Though this decline in IT spending is likely torecover slowly during 2010 [8], the global PC market is expected to face declining growth rates interms of market value, from an expected 5.4% growth in 2009 to 4.1% in 2012 [3] Most laptop (andPC) manufacturers such as Dell, HP, Acer, Lenovo, and Apple generate sales throughout the worldand therefore currency exchange rates are an important factor as well. The strength (or weakness)of the US dollar versus other currencies can directly affect a
1. PEST Analysis:Political Factors:The laptop and PC industry is expected to grow at a faster rate in developing countries comparedto the developed countries. Therefore, changes in government policies in developing countrieslike India and China can affect the potential growth rates in their markets. For instance, theremoval of import duties on laptops in India in 2005 was one of the factors that resulted in agrowth of 94% in laptop sales in 2005 [6]. Increasing focus on the environmental impact of high-tech trash has lead to more stringent environmental regulations on the electronics industry such asthe RoHS (Restriction of Hazardous Substances) and WEEE (Waste Electrical and ElectronicEquipment) Directive. The additional testing and certification involved directly affect the supplychains for laptop and PC manufacturers, resulting in increased costs. For instance, in Canada, theenforcement of the WEEE Directive will increase the cost of computers by $15 [7]. The increaseeither affects the consumer or reduces profitability for manufacturers.Economic Factors:The global economy influences various different factors that affect the growth of the PC industry.Business capital spending for small and large corporations, resulting in reduced demand for PCs.Gartner, Inc. forecasts a decline of 3.8% in global IT spending, of which computing hardwarespending is expected to decrease by 14.9% in 2009[8]. Though this decline in IT spending is likely torecover slowly during 2010 [8], the global PC market is expected to face declining growth rates interms of market value, from an expected 5.4% growth in 2009 to 4.1% in 2012 [3] Most laptop (andPC) manufacturers such as Dell, HP, Acer, Lenovo, and Apple generate sales throughout the worldand therefore currency exchange rates are an important factor as well. The strength (or weakness)of the US dollar versus other currencies can directly affect a