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PESTAL for china airlines

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PESTAL for china airlines
PESTLE analysis would be used in order to figure out external macro environment of China Airlines. by examining political, economic, social, technological, legal and environmental issues and trends of Taiwan within 1959 and 2009 time period. http://www.oxlearn.com/arg_Marketing-Resources-PESTLE---Macro-Environmental-Analysis_11_31
Political
Republic of China was established in 1911 and took under its control territory of China. After World War 2 it took Taiwan Island, which earlier belonged to Japan. However, during Civil War Republic of China lost its power and had to settle down in Taiwan. But it did not want to be under control of People’s Republic of China, moreover, it maintained that it was the valid government of Taiwan and mainland China as well. So, the relations between mainland China and Taiwan were frozen until 2007. Things became worth, when United Nations (UN) officially accepted the communist People’s Republic of China as Taiwan’s government. First, it lost its membership in International Civil Aviation Organization. (Why it was important? What caused?). Also, due to the tight political relationships of People’s Republic of China with some countries, CAL lost international carrier contracts with Japan, Malaysia, Korea, Canada and Australia. One more example of political tension between Taiwan and mainland China happened when China Airlines accused mainland China of internationally attacking the plane with the missile.In 1991, CAL had to enter into joint venture with Koos Development Corporation and form Mandarin Airlines, in order to have an opportunity to operate in Canada and Australia. The other wise decision was to rebrand the company. There was a Republic of China’s national flag on the symbol of CAL at the beginning. First, it could seem that CAL supports ROC, and trying to participate in political dissension and it can cause resentment from the civilian population, secondly, it might оттолкнутьcountries which sympathize PRC or countries

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