Presentation

Prompt

You will select a country that you would like to research using this scenario for your Final Project: PEST Analysis Presentation and Report. You may not select Canada or Mexico, nor may you select a country where you have lived or spent a significant part of your life.

You will assume the following scenario as you research your country:

You have been hired as an expert international business consultant by Global Inc. Global Inc. has business units involved in a wide range of products, including such things as heavy industrial machinery; consumer products; and banking and financial services. Although the firm has expanded over the years into other countries, some serious blunders have been made as a result of not understanding the business practices of the countries they were operating in. Global Inc. is now going to make a major, multi-line expansion into another new country. This project is extremely important to the firm, and if successful, will serve as a model for future international expansion. Because of its current financial position, the firm simply cannot afford to make a mistake.

Dr. Vaidya, Senior Vice President of the international operations of Global Inc., has come to you and requested an in-depth analysis of the country’s business practices being reviewed by Global Inc. management as they proceed in their decision-making.

The final project submission will consist of two parts: a voice-over PowerPoint presentation, due in Module 6, and a written PEST analysis report, due in Module 7.

For ​Part I​ of your final project, you will synthesize the findings of your research in a voice-over PowerPoint presentation, which you will share with the instructor.

The presentation must be limited to seven slides, as outlined below, and the voice-over recording must be no longer than 10 minutes.

Specifically, be sure to include the following in your presentation:

● Slide 1: Identify the name of the country and your own name

● Slide 2: Briefly describe (using maybe three or four bullet points) the country’s history, geography, currency, religion, etc.

● Slides 3 to 6: Briefly explain two of the most important political, economic, social, and technological factors impacting that country’s business practices

● Slide 7: Conclude with your opinion evaluating that country’s potential as a business location for the company described in the final project assignment

Introduction

Australia is one of a unique country in the world. It can be termed to be a continent, as well as the country. It is the smaller continent in the world and the largest country in the world. The country is located between the Indian Ocean and the Pacific Ocean, located in the southern hemisphere. The capital city of the country is Canberra, which is in the southwest. It is key to note the fact that the country’s mainland extends from the east to west for about 2,500 miles, which is equivalent to 4000 km. its coms all the way from the Cape York Peninsula and extends to the northeast of Wilsons promontory, which is about 2000 miles. Australia is an island and a continent that contains the same area as that of the united states. The country contains a total population of 18 million people. It is stated that the 18 million people that live in Australia, 80 percent of the total population live in the ten cities. It is also key stating the fact that the largest cities in austral are Melbourne and Sydney. Other key important factors about the country are the fact that the first colonials to settle the country was England, which was back in 1788. It, therefore, means that most of the people in the country are of the English organ. After the 2nd world war, it is noted that most of the Australians, which comprise 90%, were born here, and 9 percent of the population were immigrants. After the end of the 2dn world war, it is noted that the country took in over 5 million immigrants for the European countries. It is also noted that in the 1970 and 1980s, the country had the most refuges who came form the war from countries like Cambodia and Vietnam. It is, therefore, key to note the fact that the native people of Australia, which are the aboriginal Australians, make only 1 percent of the total population.

The key language that is spoken in the country, in this case, is English. The reason for this is that it was the first language that was introduced by the English settlers was the language that they introduced when they came into the country. Ever since, it has been the main language that is spoken by almost 80% of the whole population. The history of the country can be traced back to 1788 when one of the explorers from England saw land that as full of mountains while in his boat. He was eager to know what was taking place in the country and the activities that people conducted. It is in this place that he commenced drawing the map of the east side of the country. It was one of the ways of ensuring that he had named the country well, and it was controlled the right way. In this case, the country was ruled by the British from 1788-1850. The country has got the best typographic, which means that things are conducted without any difficulty. For instance, the country enjoys all forms of transportation as they ac use both road and water transport. The other thing is that the transportation of the country is very costly due to its great size. The modern roads that have been built in the country perpetuate from a historical pattern where they radiate right from the ports towards the state capitals. The country, therefore, has got the best-improved road systems whereby they have an expressway that connects the major towns of the country. The other thing is that the country has got the best rail transport system, which makes it easier for people to move from one place to the other.

Political environment

Political stability

When it comes to the political environment, there are various things that one needs to consider toe to ensure that everything business becomes a success. In the case where the country does not have a stable political environment, then it means that it will be difficult to conduct any form of business. In order to understand the political environment of the country, it is key to start with how the country is headed. The leadership of the country means a lot when one wants to set up any business. The leadership of the country starts with Queen Elizabeth 2, who’s the head of the country. The next leadership rank, in this case, is the governor who directly represents the queen. He is answerable of all activities taking place ion the country. The country has got a monarch type of government whereby the queen is the head of all activities taking place. The other type of government, in this case, is the prime minister who is the head of the government. It, therefore, means that the political environment of the country does not have any issues at all. The people are very comfortable with the country’s leadership, and therefore the country has a stable and environment that is regulatory. The country, therefore, is one of the safest places that anyone can dream of investing in. The political stability of the country gives any business confidence and a form of certainty to set up the business and conduct its operations without being interfered with by anything. The other thing with the political stability of the country is that they are able to respond to any changes that take place within the economy. And be able to address the challenges that are affecting the economy (David, 2018).

Tax policies

The country enjoys the best taxation policies, which makes it easier for businesses to conduct their operations. One of the key things with the country is the fact that they consider everyone in the country and the fact that not everyone is able to earn more. They, therefore, provide a better opportunity for everyone who may want to start up a business. The taxation rate is very low, which makes it easier for businesses to set up at any time.

Contract enforcement laws

The government has also ensured that they come up with the right laws government the contracts made while conducting the business. The key thing is to ensure that at all times, anyone conducting the business needs to ensure that they follow the contracts act and ensure that everything becomes a success. Anyone who is not part of the contract is not recognized by the law and cannot be mandated to sign the construct. The business, in this case, has got the ways in which they are conducted when it comes to signing contracts involving various parties and also providing security for the business at all times. They also have got various restrictions for any constructs that do not follow the right law (Kremer, & Symmons, 2015).

Employment laws

Australia has got a body that governs employment in the country. The fair act of 2009 was set to the government on how employment is done among the Australian people. They also follow the federal, legislative, and state laws that determine the safety and ensure there is no discrimination in the country. It is important as it helps determine how employments are protected in the country and ensure that their safety is enhanced at all times.

Economic environment

Economic growth

Over the years, the economy of Australia has grown due to the better policies that have been set by the government. One of the keys thig in this case is the fact that the country enjoys a high capital growth. It means that the properties within the country have grown over the years, and they’re still growing. The retunes that are received from the investment made. The returns are high, and the growth of the capital is rapidly increasing. The other thing that has contributed to economic growth is the fact that the country has got a better currency exchange rate. The country accepts any currency from other countries, be it the dollars, sterling, or the euros. It is key as it helps the country form any form of loss whenever it is conducting any form of transaction. It can also be stated the fact that the country has got a higher GDP, unlike other countries like France, Germany, and the UK. It can also be pointed out the fact that the country enjoys a better interest rate since they are stable. The exchange rate for the country increase from time to time. The rate of inflation in the country is very low (Kremer, & Symmons, 2015).

Interest rates and monetary policies

The country has got the best monetary,y policymakers well as interest rates that make it easier for businesses to conduct their operations at all times. The key thing that the economy focuses on is making sure that that the reserve bank has been mand with the role of coming up with the Australia’s monetary policy. The monetary policy of the country involves coming up with the right in the businesses, which makes it easier for business to get loans as well as circulate their money in the market. The key thing for the monetary policy is the fact that it controls the inflation of money in the country and how well people get to encourage is one of the ways that encourages a better sustainable and strong growth for the economy. It has therefore made it easier for the country to focus more on how they will conduct their activities, and the country has got a stable growth. The bank, therefore, ensure that they come up with the right interests’ rates that will favor everyone and ensure that economy of the country is stable (Ferrier, 2017). 

Unemployment policy

In terms of the economy and to maintain stable economic growth for the country, the country also considers the unemployment policy. The unemployment policy, in this case, can be stated as to whereby one is looking for work in Australia and whereby they get to get for than one hour each week. The other thing is one needs to be ready and start to work for at least one week. It can, therefore, be stated that the unemployment policy in the country can be the rate of the active labor forces within a given period.

Inflation rates

It can also be stated that the country has got the best and stable economy. The inflation rate, in this case, can be stated as the rate in which the prices will get to increase from time to time, which will make the purchasing value of the currency to decrease or fall. The inflation of Australia in this case as per the year 2019 is 1.61%, which is an increase from the previous year. As for the inflation rate of 2019, it is not high, and it does not make it difficult for money to be exchanged within the country.

Social-cultural environment

Income distribution

One of the key things with the social culture of Australia is the fact that the income distribution of the country depends much on how people live, and in this case, it is low. The country’s largest cities in the country are less and hence make it easier for people to live freely. According to data provided by the country’s national statistics, it states that’s 80% of the population lives in 10 of the country’s’ largest cities. It means that the country’s cost of living is very lower and people can live without having difficulties in life. The other thing with the country is the fact that the major cities of the country have been ranked as the best 30 cities in the world as the best cities due to the quality of life they offer. The other thing is that the average gross house income of the country is reported to be $116,584. 20% of the households in the country earn almost 48% of the total income. They have more than 12 times the rest of the 20% who only have 4% of the total income. It, therefore, means that the middle class in the country, which constitutes 60% of the total population, shares 48% of the total earnings.

Demographics, population growth

The population of the country has rapidly grown. The total population of the country, as per 2019 it was 25,522,169. From the population, it can be stated that the population gets to change each year at a rate of 1.18%. The global share of the country is stated to be 0.33%, whereby the country has been ranked 55 globally. Another key factor in this case, that is worth considering is the fertility rate, which is 1.8. the life expectancy of the country is 83.9 years, which is a combination of both sexes. The infant mortality rate of the country is 2.7, whereby the deaths per live birth of the infants is 1000. The deaths under the age of 5 in the country are 3.2. the population growth has grown all over the years, which is a key indication that the growth is positive and people are increasing each day. The other thing is the fact that the urban population represents 85.7%, which is totaling 21,607,414. The rural population is low as compared to that of urban. It can also be stated that the population density of the country is three people per given km2. The population growth of the country in the ten largest cities of the country is an indication that business can be conducted without having to face so many difficulties. It, therefore, means that people get to change their status depending on the social changes and some of the factors that they get to see and experience.

Work/career attitude

When it comes to working in the country, there are various things that are taken into consideration. For instance, the people in the country tend to focus too much on getting ng their work is done on time. Many people do not waste too much time while accomplishing their work duties. The key thing is that they put too much effort while working, and they do not say no to any extra time added to them; the key goal is that employees are working according to the rules and regulations. The other thing is the fact that they take their work seriously, and they know how to differentiate between work and family. They know how to put their family asides when it comes to work and ensure that they balance well at all times. Another thing is that most of the people in the Australian drive to work as others start their duties very early. The people also are very punctual when it comes to attending to their activities, and they’re reported to be less hierarchy when it comes to working.

Education

The education system of the county is divided into various parts. The first thing is that one needs to study for 13 years, which is the primary school which goes for over seven years. The next phase is the secondary school, which goes from 7 to 10 years, and finally the senior secondary, which goes for two years. It, therefore, means that the education system of the country is mandatory, and through this, students are able to gain relevant knowledge depending on their area of interest (Sophia, 2015).

Technological environment

Government research spending

The government is at the forefront in ensuring that they create the best environment for business people to conduct their operations without any difficulties. One of the key things is the fact that the government has set aside some funds that will be used to conduct research on how to improve business within the country and how to come up with the best technological advancements. The government, in this case, spend over $1o billion to help in conducting research development. The government has also spent over $12 billion, which has been directed to conduct training and education of the various people who will help in technological advancements. The government wants to ensure that everything is conducted online making.

New interventions and development

The government has also ensured that they come up with new interventions, which are meant not to boost the warfare on how activities are conducted in the country. The key thing is that they have focused on coming up with a 5G network and developing to ensure that business is conducted without any difficulties. In the event where communication has been enhanced in the country, it means that the country will perform well, and it is easier to conduct business. The country has been able to purchase technology, which has grown at aa higher whereby in 2018, it was 4%, which has increased to 65% billion as for the year 2019. It, therefore, means that the country is doing a good job to ensure that everything becomes a success.

Energy use and costs

When it comes to the cost of energy in the country, it is 0.238 per kWh for those using in their homes. For commercial purposes, the cost of energy use is 0.192. one of the key things that are worth stating, in this case, is the fact that businesses have a got a better advantage, and they get to enjoy various factors whereby they will be required to pay less. It means that that the government has considered business a lot s when it comes to electricity use in the country.

Changes in internet usage

According to data provided, it is evident that over 14.7 million people have subscribed to use the internet—the rate of penetration of internet use if 88% as per 2018. The way on how people get to use the internet has changed. The government has invested more to ensure that they offer the best network to the people. They have invested in ensuring that everyone is updated with the latest technology at all times (Issa et al. 2010).

Conclusion

When looking at the Pestel analyses, one of the key things that are worth noting is the fact the country offers the best and conducive environment for any business to conduct their activities. It ensures that the policies put in place favor any business, and one can set up the business. The country also has got a better population that can favor any business in the country. It is also key to state the fact that the government supports any business that is starting as they can offer loans to set up. In this case, it is key to state the fact that Australia will support the entry of the company.

References

David, J. (2018). PESTEL analysis of Australia. How and what. Recuperado de https://www. How and what. Net/pestle-analysis-Australia.

Issa, T., Chang, V., & Issa, T. (2010). Sustainable business strategies and PESTEL framework. GSTF International Journal on Computing, 1(1), 73-80.

Sophia, S. (2015). Australian Journal of. Australian Journal of Basic and Applied Sciences, 9(36), 171-176.

Ferrier, E. J. (2017). Business Strategies and Cultural Implications for Australian companies entering the Japanese Market: A qualitative study on the wine sector (Bachelor’s thesis, Università Ca’Foscari Venezia).

Kremer, P. D., & Symmons, M. A. (2015). Mass timber construction as an alternative to concrete and steel in the Australia building industry: a PESTEL evaluation of the potential. International Wood Products Journal, 6(3), 138-147.