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Essay / Research Paper Abstract
This 4 page paper looks at potential external influences on three different types of organization. Looking at an airline, a fast food chain and the college the writer identifies a political, economic, social and technological factor which could influence each type of business. The bibliography cites 3 sources.
Page Count:
4 pages (~225 words per page)
File: TS14_TEextPEST.rtf
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Unformatted sample text from the term paper:
of the firm, meaning that companies will need to react to those factors, even if they have been forecast in advance. By looking at three different types of organization potential
external factors can be identified. The external factors identified for each organization will be undertaken with the use of a PEST framework, looking at the political, economic, social and technological
influences. United Airlines Political - any airline is going to be impacted by political influences; they have to work under a legislative regime and need to be granted a
license in order to carry on operating. However, some political influences may not always be foreseen. An example of this and its ability to impact the airline industry and companies
such as United Airlines was seen with the 9/11 terrorist attacks. Terrorism is a political act of aggression, but it can impact on businesses if it creates a climate of
fear or concern regarding the use of goods or services provided by a company which may be a target. Airlines been a target in the past, not only 9/11, and
even political rumbles regarding or potential threats could negatively impact the demand for air travel. Economic - air travel can be seen as a luxury when it is undertaken to
leisure purposes. If there is an economic downturn within an economy, such as one which is occurring due to the current global credit crunch then passengers will have less money
to spend with airlines, as they will have less disposable income (Nellis and Parker, 2000). With less disposable income the airlines will face a fall in demand for their services.
Social - social influences have been keen the development of the airline industry. Globalization increased knowledge of potential destinations has increased the demand for air travel, making it a social
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