This week’s topics
Measuring the external environment with PESTLE
- Political (changes in government and government policies, taxation, political stability, industry regulations, global trade agreements and restrictions)
- Economic (government economic priorities and policies, economic growth, economic decline, exchange rates, inflation, interest rates, consumer spending, labour costs)
- Social (culture, lifestyle, career and life expectations, consumer trends, fashions)
- Technological (new technologies, use of technology, impact of technology on industry, individual businesses and the individual and organisation)
- Legal (changes in legislation and regulation e.g. health and safety, employment legislation, equality legislation, consumer legislation, data protection)
- Environmental (corporate social responsibility, consumer opinion, ethical trading, fair trade, organic, sustainability, responsibilities, legal requirements e.g. water use, waste and carbon emissions)
What you will be able to do
- 4.3 Apply a technique to quantify a business’s external environment.
Activity
Start with this week’s 4 videos, then discuss how they apply to this week’s topic and note one example from a real business.
Study materials
Videos
- What does the economy have to do with politics? · Oak National Academy, Key Stage 4 (GCSE level) · for registered students
- How does the Government get its money? · Oak National Academy, Key Stage 4 (GCSE level) · for registered students
- Data protection, copyright and the law · Oak National Academy, Key Stage 4 (GCSE level) · for registered students
- Linear versus circular economy · Oak National Academy, Key Stage 3 (lower secondary level) · for registered students
Further resources
- Principles of Management, ch. 8.3: The external macro environment – PESTEL · PDF · OpenStax (2019); pp. 223–227 · for registered students
- Entrepreneurship, ch. 14.2: Using the PEST framework · PDF · OpenStax (2020); pp. 547–553 · for registered students
- Key facts on the EU Consumer Rights Directive · PDF · European Commission, 3-page factsheet on consumer rights when buying · for registered students
- Principles of Marketing, ch. 19.1–19.2: Sustainable marketing · PDF · OpenStax (2023), environmental pressures on business; pp. 646–649 · for registered students
- Measuring Economic Policy Uncertainty · Open-access article · Baker et al. (2016), Quarterly Journal of Economics. Builds a news-based index of political and policy uncertainty and links it to business activity. · for registered students
Materials marked “for registered students” open in the student portal, which is set up as soon as you receive final acceptance.
