International foundation program Global Business EnvironmentIFP012 PESTELanalysis MR: Paul Ndavi Victor Kashamuka22/01/2018 A PESTEL analysis: is a tool used by marketers to mesure and monitor themacro-environmental factors that have an use full to an organisation. China environmental factors Energyis one of the most important thing for manufacturing textiles. China’s textile industry uses a lot ofenergy and now it’s being put under a lot ofpressure for energy consumption. Energy-related greenhouse gas is raising concretersdue to the negative impact to the environment.
In order to reduce greenhousegas, energy saving technology are on high demand. WTO’s statistics show that China is the biggest textile producer andexporter in the world since 1994. 50% of the world’s fibber production is occupies by china’s textile industry. The textile industry in now seen astraditional pillar in china. But now the pressure has become a lot for china’s textile industry to reduce it large amount of energy usage.
Chinamight start to go green now and but since the demand of both domestic and foreignmarket is growing, china’s textile industry will continueits rapid growth in the future.USA economic issuesPresident Trump is questioning whether US’s neglect in theimportance of domestic manufacturing is good for the country or not. Because itwill increase manufacturing and increase job creation. Which is good for the country’s economy because this will increase taxes. The NCTOagrees with president trump’s new US trading surjectionpolicy, and they think it’s time theylook at the actual reality of the twenty first century’s economy. In the election of president Trump he broughtabout a big and dramatic change on trade. President Trump also believe thatNAFTA should be improved, for having loop holes like tariff preference levelsthat benefits third party counties like china, and if they close these types ofmini mistake its will boostU.S textile production and employment.
Even though US’s textile industry has stabilised a good placein the global economy, they cannot get too comfortable because no matter howgood they are now, there will always be completion from abroad, so they have tostay on their guards. Legal sectorsin India Legalenvironment is very important in the textile industry, industrial licencinglows search as, monopoly control, foreign exchange regulations… laws like this play a vital role in theindustry of the textile industry in India. The Indian government has introducedvery strong labour laws which has caused the textile industry to suffer.
Tradersin India have found labours laws unfavourable. The government is charginghigher indirect taxes. In 1995 India singed an agreement that had policy similarto the international ones. India can also try to get in the export market which haspotential of earning about $34 billion export earnings by 2010. Which mighthelp trader and the economy of India because it will bring in more taxes andincome. Socialsector in turkey Social responsibilities Social responsibility is kind ofagree meant that an organisation hast to follow, to minimise it negativity and increaseits positivity in the society, social responsibility of required from everyone fromcorporate to governments organisations. The social responsibilities of anorganization is also called a corporate social organization.
There are twotypes of social responsibilities, human responsibilities and environmental responsibilities.Human responsibilities mean the the responsibilities of a organization for allits ascites. Also known as stake holder and business parlance.
Environmental responsibilitiesare the responsibilities an organisation has to have to for the protection ofthe environment. The point of social responsibilities is to make sure anorganisation works in a way that the stake holders are protected or are notbadly affected badly in any way. So that an organization should work in anethical way to make sure all the associates are protected.
Textile farms arealso expected to follow the rules of social responsibilities to keep all theparties associated safe and the environments. However, some organisations mightchoose to fulfil their social responsibilities a bit different from others. forexample, they have fair solution policy for when employees get in a dispute,making sure that the work place is safe for the employees, by giving employees anopportunity to complain and have a policy for their solution… examples for the environment, example, organizations haveto make sure they buy environmentally friendly supplies, using eco-friendly packaging,and having a way to get rid of disposable west.
One other point of socialresponsibilities is to gain popularity. Most companies now day are more focusedon making their employees, customers, investors and the general public happy, Rutherthan just being in the business for the money, that slowly becoming out dated.