Professional Documents
Culture Documents
488976771-PESTEL-Analysis-IM
488976771-PESTEL-Analysis-IM
SUBHAM CHAKRABORTY
ROHAN BHARADWAJ
PGDM SAP
Governmental leadership:-
The Federal Government is composed of three distinct branches: legislative
executive , and judicial , whose powers are vested by the U.S. Constitution in
the Congress, the President, and the Federal courts, respectively
It is worth mentioning that that there is a widespread fear that the US economy slide
into recession in late 2019 as the country’s stock markets have already dropped
sharply. Many analysts believe that US-China trade war, US-Iran standoff, Brexit and
geopolitical uncertainties around the world may cause recession not only in the USA
but also in many other countries.
Disposable income:-
This statistic shows the total disposable personal income in the United
States from 2000 to 2019. Americans had a total of 14.97 trillion dollars
in disposable personal income in 2019. Per capita
personal disposable personal income was 45,579 dollars in that same year
Unemployment level :-
National unemployment was at 14.7 percent in April 2020. According to the
Bureau of Labor Statistics - the principle fact-finding agency for
the U.S. Federal Government in labor economics
and statistics unemployment declined from 2010 to 2019.
Trade tariffs:-
The United States currently has a trade-weighted average import tariff rate of
2.0 percent on industrial goods. One-half of all industrial goods entering
the United States enter duty free.
Inflation rate
2020* 0.62%
2019 1.81%
2018 2.44%
2017 2.14%
The USA is a very diverse country. By 2020 almost 1 in 3 Americans will have
African, Asian, Latino, or Native American ancestry. The US education system is one
of the best in the world; so is the health care system. However, health care is not
usually free and certainly not cheap for many people.
Ethnic/religious factors:-
The largest religion in the U.S. is Christianity, practiced by the majority of
the population. From those queried, roughly 51.3% of Americans are
Protestants, 25% are Catholics, 1.7% are Mormons, and 1.7% are of various
other Christian denominations. Northern European peoples introduced
Protestantism.
Ethical issues:-
As of July 2016, White Americans are the racial majority. African Americans
are the largest racial minority, comprising an estimated 13% of the population.
Hispanic and Latino Americans are the largest ethnic minority, comprising an
estimated 18% of the population.
Demographics:-
0–14 years: 18.62% (male 31,255,995/female 29,919,938) 15–24 years:
13.12% (male 22,213,952/female 21,137,826) 25–54 years: 39.29% (male
64,528,673/female 64,334,499) 55–64 years: 12.94% (male
20,357,880/female 21,821,976
Health:-
The US was once a leader for healthcare and education — now it ranks 27th
in the world. The US now ranks 27th in the world for its levels
of healthcare and education.
The USA has been at the forefront for adapting and applying technologies in a wide
variety of fields. Many jobs have been transferred from the USA to other countries
and production facilities have been relocated. While this has helped companies
reduce their production costs,.The rate of technological innovation and change is
extremely rapid in the USA. However, the country faces strong challenges from a
number of countries e.g. China, South Korea, Japan and India.
Technological development:-
The United States gained world leadership in a number of the technologies
and industries of the "second industrial revolution "—electrical machinery,
automobiles, and steel—through the development of large-scale mass
production techniques.
Environmental regulations:-
10 major federal laws deal with protecting the environment and the health and
safety of U.S.
Employment law:-
The Fair Labor Standards Act (FLSA) prescribes standards for wages and
overtime pay, which affect most private and public employment. The act is
administered by the Wage and Hour Division. The Fair Labor Standards Act
(FLSA) mandates that employers must pay employees not exempt from its
minimum wage and overtime protections laws at least the federal minimum
wage, as well as overtime pay, if applicable.
Consumer protection :-
In the United States a variety of laws at both the federal and state levels
regulate consumer affairs. Among them are the Federal Food, Drug, and
Cosmetic Act, Fair Debt Collection Practices Act, the Fair Credit Reporting
Act, Truth in Lending Act, Fair Credit Billing Act, and the Gramm–Leach–Bliley
Act.
KFC is one of the only fast-food restaurants with unhealthy food in the
name — unlike McDonald’s or Burger King, in which burgers can still
be healthy). KFC did the smart thing; dropped the “fried” without
having to entirely overhaul their name and image. It’s a psychological
change; KFC still sells the same high-calorie chicken, but eliminating
the word from consumer minds can cause them to “forget” the
connection between unhealthiness and fried chicken.
Over the last couple of years, KFC has been drawn into
political drama. On the official Twitter page, KFC mocked McDonalds’
mascot while simultaneously parodying President Donald Trump’s
tweet, where he mentions having a “bigger and more powerful” nuclear
button than North Korea. Mocking Mr. Trump ruffled the feathers of
his supporters, and even those who aren’t his fans weren’t thrilled
with KFC’s mocking tone in general. Some did see the tweet as
harmless humor, but perhaps in poor taste.
In May, KFC became the accomplish of a political dispute. Tennessee
Democrat, Rep. Steve Cohen, attempted to mock Attorney General
William Barr by busting out a giant bucket of Kentucky Fried Chicken
during a hearing. This was Cohen’s attempt at calling Barr a
“chicken.” In the press images, KFC’s logo was clearly displayed. This
wasn’t a publicity stunt with KFC’s permission (that we know of) and
it could’ve easily tarnished KFC’s reputation.
Economical factors KFC
Yum! Brands owns KFC and similar fast-food restaurants, including
Pizza Hut and Taco Bell. All of these corporations are struggling in the
Chinese market. While most can’t seem to grow, many are on a profit
decline.
Part of the problem for KFC is the association with fried chicken, one
they’ve tried to separate from by abbreviating the name. The health-
conscious crowd isn’t interested in fatty, calorie-dense foods. And
since most of KFC’s menu includes some form of fried chicken, these
consumers don’t have many choices.