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Vauxhalls Strengths, Weaknesses Opportunities, Threats Analysis - Case Study Example

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 In this case study, the author is going to discuss political, economic, social and technological aspects in the European Union (EU) with the help of PEST analysis. The findings of PEST analysis will be used to develop a SWOT analysis for Vauxhall Motors as a car manufacturing business in the region…
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Vauxhalls Strengths, Weaknesses Opportunities, Threats Analysis
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Download file to see previous pages The foremost impact of political policies and regulations is seen on the socially responsible conduct of businesses in the region. Due to the increasing pressure of environmental activists and consumer groups, car manufacturing businesses in the region are forced by the political administration to manufacture automobiles that are safer with minimum harm the ecological environment (European Monitoring Centre on Change, 2004).
Additionally, the Political administration of the region also works together towards providing relief to automobile manufacturing businesses in the form of levies on taxes, easing recruitment regulations and providing incentives for incorporating social responsibility framework in business practices.
The economic outlook of the EU region is somehow unstable. There are countries in the continental alliance that are experiencing an economic downturn and are forced to provide bail-out plans to businesses in their respective countries. Spain and the UK are the biggest examples of financially unstable countries in the region. As a result, the purchasing power and spending trends of consumers in financially unstable countries of the region is reflecting an unfavorable trend. On the contrary, the car manufacturers in the EU region are considered as a vital economic stimulator. This is because, in the manufacturing of automobiles, the manufacturers utilize other complimenting products such as textile output, aluminum, copper, steel, computer chips, iron, lead, plastic, vinyl, and rubber. Considering this assertion, it can be said the car manufacturing is an important driver of the region’s economy (European Commission, 2009).
The society in the EU region perceives their vehicles to be reflecting their social status. Majority of the societies in the EU region prefer vehicles that are environmentally friendly and designed keeping in view the modern trends.  ...Download file to see next pagesRead More
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