Global Enterprise Management - Spring, 2019 To analyze the potentials of starting a craft beer brewer in your assigned company. You will be required to conduct a PESTEL/situational analysis of the assigned country which is India. From that analysis you will prepare and present a country market entry strategy. The deliverables will include: 1- Describing the initial findings of the PESTEL/situational analysis 2- Fully describe the findings of your analysis as well as your market entry strategy 3- Cover findings from your analysis of the economic, technological, and industry specific findings of the assigned country (India ) . A PESTEL analysis is used in strategic planning as a way to assess the broad environmental factors that shape a country and its markets. There are 6 broad environments that need to be considered: Political, Economic, Socio-cultural, Technological, Environment and Legal (PESTEL). It is critical to determine the direction a country (India ) is moving in these environments and so it is vital that your analysis identify indicators in these 6 environments that can be tracked over time whenever possible. For this reason, these indicators must be data driven. For example: Political indicators are related to the acts of the government. These indicators may be ways that the government is enhancing the country such as investment in education and public health (budgetary commitments) or ways that damages the country such as corruption. Economic indicators are the most analyzed and therefore will be the easiest to acquire. The question though will be which ones are the most relevant to your markets. Social indicators look at the society of the country. For example, an indicator of limited strategic value is the dominant religion of the country. While this indicator will provide insight regarding practices (dietary restrictions for example) it is very hard to determine if the religion in the country is getting more or less dominant with the population unless you look at specific religious practices (or sub-groups) that have been measured over a significant period of time. For this reason, other indicators may be more helpful to determine the direction that a countries society is heading. For example, literacy rate of the population, the role of women in the society (as determined by female literacy, education rates, or employment as examples) and country birthrates all can provide insight on the development of the country (frankly there are dozens of possible quantitative indicators you can pick that will provide you with insight into how the society is changing over time). The first question that must be asked is whether the country society is changing slowly or rapidly (for example the "me too" movement is having a dramatic and immediate impact on women empowerment, at least over the immediate term). The next question is what is driving that change. That knowledge will give you a solid understanding of the markets you are about to enter. Schlumberger-Private Global Enterprise Management - Spring, 2019 Environmental indicators are related to the natural environment. Some that could be used are access to potable (safe to drink) water and exposure to air pollution (both will have an impact on public health). Think of indicators that have direct impact to the industry first when making your analysis. For example, for a brewhouse access to clean water is more important than number of earthquakes the region experiences. For some of the broader indicators, such as frequency of hurricanes, you may want to use a proxy such as the financial damage that these events have caused over time. Legal indicators are the legislative acts that create barriers to your industry's efficient operation. For example, tariffs and non-tariff barriers on finished products or components should be described here. Unlike the other components of the PESTEL this collection of indicators may not experience much change over time and therefore may be described in your report. Other indicators are those important points that are of importance to an industry that a company should consider when entering a country. Units of measures, for example, should be addressed and carefully considered for in the brewing industry. A well done PESTEL should provide a clear description of the industry within a country today as well as indications of where the industry will be heading in the future. Schlumberger-Private
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