IB PEST analysis

Essay by jasonyuetHigh School, 11th gradeA, March 2009

download word file, 4 pages 3.0

Open Views, Warm Breezes and Client DelightPest AnalysisPolitical:Opportunities- The government, concerned about unemployment rates, provided financial supportThreats-The government presented some objections to the business’ operation- Operations threaten the ecology of the reefEconomical:Opportunities- Build forty five new cottages on the beach- Develop a commercial center adjacent to the main buildingThreats- The slow down of the United States and European economies- Competition with other holiday companiesSocial:Opportunities- The unemployment rates are high in those islands- Satisfied customers recommend Open Views to other peopleThreats- The government is concerned by the fact that no senior managers are from the local population.

- Consequences of bad decisions left to experienced employees. Technological:Opportunities- Develop a warfare game site- Offer organized weddings during tripsThreats- Communication throughout the company is poor (telephone)- Peter Storm, general manager, doesn’t have a good relationship with the local staffP - Political:OpportunitiesOpen views based their activities in islands in the Caribbean. These regions are usually poor, and the unemployment rates are low.

Therefore, the government puts the emphasis on helping the population getting employed. When Open Views decided top operate in this region, the government provided financial support to the company. This will allow Open Views to payback the loan in a shorter amount of time. Therefore, the company will be able to earn profit and expand, eventually.

ThreatsAlthough the government is concerned about population and helps the company, it presented some objections to the business’ operations. The government has several concerns regarding this business’ activities. They are concerned about the fact that all the profit generated by the company goes overseas, for example. Therefore, the government puts pressure on the company. They have to modify their activities in order to receive full collaboration from the government. Another threats this company is facing are that their activities threaten the ecology of the reef. Their...