Political factors affecting business

pestle analysis

1. POLITICAL FACTORS AFFECTING BUSINESS AMITY GLOBAL BUSINESS SCHOOL . BANGLORE.

2. POLITICAL ENVIRONMENT The political environment of the business are the political factors that can affect the way in which business operate ,the businesses that are present . According to the business dictionary: ’ ’the political environment is the government actions which affect the - operations of a company or business ’’. There actions can be present on several different levels including the local, state, regional, national and international level.

3. Political factors affecting business Elections. Trade control. Employment law. Data protection law. Environmental law. Tax policy(tax rates and incentives). Gov. involvement in trade unions and agreements. Import and exports restrictions on quantity and quality of the product. Intellectual property law(copyright, patents).

4. Effects of these political factors on business environment impact on economy :political situation of a country affects its economic setting. The economic environment affects the business performance. C hanges in regulations : governments could alter their rules and regulations . This could in turn have an effect on a business. P olitical stability : lack of political stability in a country effects business operations. This is especially true for the companies which operations internationally.

5. Importance of observing the political environment. Firms should track their political environment change in the political factors can affect business strategy because of the following reasons. The stability of a political system can affect the appeal of a particular local market. Gov. view business organizations as a critical vehicle for a social reform. Gov. actions influence the economic environment.

6. Thank you PREPARED BY :MANOJ