PESTLE for H&M Fashion Company-Free-Samples -Myassignmenthelp.com

Question: Discuss about the PESTLE for HM Fashion Company. Answer: PESTLE For HM fashion company P- Political factors The HM fashion company is well-known company Swedish multinational clothing-retail. The company is going to open the business in new Asia regions that include Turkey, Taiwan, Hong Kong, Macau, Singapore and Malaysia (HM, 2017). Each region of Asia there is separate trade regulations and laws that need to be followed by the company. For instance, Singapore levies 7% Goods and Services Tax (GST) and 99% of all imports enter duty-free. Similarly, each country has different trade regulations that can impact the working and the expansion plans of the company (Export.gov., 2017). There are certain regulations related to the license that can become the huddle in the formation of the business. E-Economical factors The economic factors include inflation, employment, purchasing power and recession. The income of the Asia regions are increasing form last few decades and this shows that there is a rise in the purchasing power of the Asia regions (Barua, 2017). The graph below shows the increase in the income:- The inflation rate of regions of Asia is increasing which bring the rise in the demand of the customers and this economic helps the company to make a profit out of these countries. S-Social factors The social factors are directly related to the customers, the increasing awareness of the knowledge in the customer is making the company be transparent with the customers. The HM fashion company is operating the business in the Middle East and in Asia. This is the reason they should keep this on account that there are social and cultural differences such as language, religion, and outfit of the men and women (Yu, and Shi, 2013). Considering, the Asia regions company need to bring the changes in the products that they are offering to the customers. The youth of the Asia will definitely like to prefer the fashionable and designers outfits. T-Technological factors The technologic is adopted by each and every company in todays world. The company is opening the online stores in Asia, so the company should provide the portal more convenient for the customers with the use of the technology (Samoilenko, 2016). The mobile app use should be provided to the customers and apart from this company should try to develop more innovative strategies with the use of technology that helps the company to compete in the market. L-Legal factors The legal factors should be taken care of the company while operating the business in the Asia regions. The company should trademark and patent on the products that they are going to provide in the Asia regions so that the company doesn't have to face any disputes. These disputes can harm the working of the company in the regions (Ho, 2014). The company needs to provide the wages considering the laws related to the minimum wages act of different countries. E-Environmental factors The environmental factors are must to be followed by the company as this is the social responsibility of the company. The HM fashion company understands the value of the environment and the company works accordingly. The aim of the company is to be 100% circular and renewable by the year 2030 that means that company is looking to manufacture the new product from the old products (HM, 2017). In Asia regions, the company wants to make use of the recycled and the durable material. By doing so the company is fulfilling the environmental laws of the Asia regions References Barua, A., 2017, Asias retail spending boom: Shoppers go on a frenzy, and why not?, Viewed on 6th November 2017, https://dupress.deloitte.com/dup-us-en/economy/asia-pacific-economic-outlook/2017/q2-asia-retail-spending-boom.html Export.gov., 2017, Trade Regulations, Customs and Standards, Viewed on 6th November 2017, https://2016.export.gov/singapore/doingbusinessinsingapore/traderegulationscustomsandstandards/index.asp HM, 2017, About Us, Viewed on 6th November 2017, https://about.hm.com/en/about-us/markets-and-expansion.html Ho, J.K.K., 2014. Formulation of a systemic PEST analysis for strategic analysis. European academic research, 2(5), pp.6478-6492. Samoilenko, A., 2016. E-commerce in Russia: Challenges and Opportunities: Russian e-commerce market for local and foreign enterpreneurs. Yu, Y. and Shi, Z., 2013. Customer satisfaction in the fashion industry: Case study of HM case company.