Pestel Philips Essay Example for Free

Pestel Philips EssayPOLITICAL FACTORSBecause Philips is an international company, it has to deal with many political factors such as assess policy, employment laws, environmental regulations, trade restrictions and political stability inside each country they are in. Philips is a manufacturer, a sales company and needs to harbor service organization too, so it must deal with many varieties of laws and policies that are changing, depending the country and the time. For example in many countries of European union now winning place dynamic changes in employment law. (Federation of European employees, 2007)ECONOMIC FACTORSDepending on the country and the economic growth of it, the buying power of the population is not the uniform e reallywhere. In fact, as Philips is present in many countries, it has to adapt its products and sales processes to the buying habits and the standard of living. For Philips high economic growth means the increasing purchasing power of the population t hat is desirable for the company.SOCIO-CULTURAL FACTORSThe social and cultural influences on business vary from country to country, region to region. It is very important that such factors are considered. Then, it is necessity for Philips to understand the consumer needs and habits in order to meet its expectations. Moreover, in developed countries nowadays, customers are paying more and more attention to ethics, respect and culture of the company.technical FACTORSBecause of the international presence of Philips, each country doesnt have the infrastructure to welcome properly Philips technologies, includingonline processes. So Philips needs to adapt its products to the country where they are. Moreover, Philips Company is very dependant on technology. New innovations can significantly improve operations of the company. Also, its important not to neglect the Research and Development department horizontal if its the most expensive one. ECOLOGICAL FACTORMany countries are now environm ent concerned and try to reduce pollution. Philips as a astronomic manufacturer can face some problems because of that, plane more as it is a lightening company. With the important development of the LED, Philips has a real challenge even if the LED market is not as profitable as the lamp market.LEGAL FACTOREach country has its own legislation even countries which are move of the same organization, for example, in Europe, there is the European legislation and the countrys legislation, so Philips needs to be aware of every aspects of this system and adapt quickly.