Bianca Dewlal - Business Essay
Bonolo Monye
Montsamaisa-Bosigo Disaster Relief & Recovery Services
23 June 2009
SWOT & PESTLE Analysis
The Pestle analysis
1. P-Political Environment
• A sudden change in government can have a big impact on Bonolo’s business
• Such as the Black Economic Empowerment (BEE), and that may mean that Bonolo has to higher more Black employees.
• Taxation Policy- Bonolo’s business would either be cherish or not,depending on weather the finance industry in the government increases or decreases the tax ,if increased ,Bonolo will be able to take out a loan from a bank and could branch out his business.
• Trade restrictions such as Sanctions can influence Bonolo’s business in a slight way
• Such as International Trade, this depends if Bonolo imports components or pars or make his product.
2. E-Economic Environment
• Interest Rates could benefit Bonolo if they decrease, because banks will be allowed to give out more loans to SMME, so it will be easier for Bonolo to get a loan ,so that his business can branch into other areas.
• Foreign Currency, if weak then can benefit Bonolo due to the decrease in prices overseas ,therefore he can be cost effective by buying components or pars for his product overseas and he will be saving money.
• The Inflation Rate may provoke higher wage demands from employees and raise costs of the business.
3. S-Social Environment
• Poverty might effect Bonolo’s business depending where his business is situated, if there area around Bonolo’s business is poverty stricken then his business will be affected by it ,because consumers won’t have the money to fulfill their needs ,therefore Bonolo’s business will not have enough consumers and no profit will be made and there will be too much debt to pay, so his business will have to close down, so Bonolo should consider his business locations carefully.
• Crime is closely...