Breakdown and Simplification of Marketing theories — PESTEL analysis

You are studying Marketing, and some of the terminologies you find in the books or hear in lectures are just overcomplicated for no reason!

Say no more…

Welcome to our little mini-series where we break down and simplify Marketing theories. So without further ado, let’s dive into an essential theory of marketing and explore what it is and what it is used for.

PESTEL analysis

The research has shown that it is essential that the marketing environment is monitored thoroughly and regularly. Evaluation is done with the help of PESTEL analysis which stands for Political, Economical, Social, Technological, Legal and Environmental.

Political: Political stability, foreign trade, tax policy, government policy etc.

Economical: Economic growth, exchange rates, interest rates, inflation rates, unemployment rates etc.

Social: Population growth rate, age distribution, career attitudes, health consciousness, lifestyle attitudes, cultural barriers etc.

Technological: Technology incentives, level of innovation, automation, R&D activity etc.

Legal: Discrimination laws, employment laws, health and safety laws, consumer protection laws etc.

Environmental: Climate, environmental policies, climate change etc.

Over to you…

We’d love to hear what marketing theories you think needs to be simplified, or is missing on our list.

Let us know in the comments and we’ll be excited to check it out!

Thank you for your attention. It goes without saying that it means the absolute world to our team. We hope this piece of content helped you in even the slightest bit and if it did, please share with a friend/co-worker/etc. that could also benefit from this.

Written by Maria Golovacheva