Pestel Factors
As well as monitoring factors within the organization it is important for Asda to examine activities out with the organisation which may have a direct impact on them. Factors such as political, economical, social, technological, environmental and legal are all important. An important factor to be considered is the political aspects of the government. Asda's competitiors are facing tesco are facing implications with regards to expansion. It is mentioned "Indeed, such is the company's dominance of the Uk supermarket sector that there have been some calls for government to step in and limit their continued expansion" (Coombe, 2006). This is a set back for organisations that have a strategy of growth. In response to this it will be of importance to take a creative streak and try and lobby the government. Trying to bring about a change in law may allow Asda to continue and build on their growth strategy. Research has shown "the supermarket offered hundreds of thousands of pounds to Manchester City Council for a piece of land in an effort to prevent rival Kwik Save building a store there". This is regarded as unfair trading and with a change in law through lobbying this will not be a hinderance for organsations.
Social issues are of importance to organizations because the industry we operate in is sensitive to changes in the environment. Educating and investing money in schools will enhance the image of Asda in the public eye. This is seen by the BBC who state "this is very useful to the government in trying to fulfill its target number of young people in apprenticeships". By fully concentrating on their political factors identified in the PESTEL will enhance the view of the orgainsation in eyes of the government. This will also give Asda the inf ...