PESTEL PES TEL ANALY ANALYSIS SIS The key macro-level influences on the bottled drinking water market are:
• Political o
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Non-alcoholic beverages fall within the food category under the FDA. The government lays a role within the oeration of manufacturing these roducts in terms of regulations. There are otential fines set by the government on comanies if they do not meet a standard of laws The key factor is government sending cuts and the e!tent to which these affects the economy and" therefore" consumer confidence as well as funding and grants available to start-us.
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#han #hange gess in la laws ws an and d re regu gula lati tion ons" s" in incl clud udin ing g chan change gess in ac acco coun unti ting ng st stan anda dard rds" s"ta ta!a !ati tion on re$uirements" %including ta! rate changes" new ta! laws and revised ta!law interretations& and environmental laws in domestic or foreign 'urisdictions.
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(olitical conditions" esecially in international markets" including civil unrest" government changes and restrictions on the ability to transfer caital across borders
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#hanges in government gove rnment affect the sector. )hile one government administration suorts a roduct" another government administration could suort another one and this sometimes end u with rofitability roblems.
• Economic •
The direct link between consumer confidence and sales of discretionary urchases like bottled water means that the economic outlook is a key influence on the demand and rice aid for bottled water.
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The sector has a cometitive environment and can be easily affected from the rice changes" interest rates" and income distribution. *ince the roduct is not very rofitable any little rice or currency change would affect the sector. +ecause the machines are imorted currency lays an imortant role. Also the emloyee e!enses that are rising every year damages the budget. ,very year a rise in the e!ense means ten workers for one more so theoretically the comany emloys one worker for free. nflation rate and the fluctuations affect the sector as it has an imact on any area.
• Social •
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There is a regular increase in the oulation in +angladesh. ,very erson means someone to drink a mineral water. +ecause the target market is anyone " so the all consumers are the target segment in ineral )ater arket. Also as /education0 level has been increasing in the country and eole tend to live a healthier life eole began to know about some little things about ineral )ater )ater because it rovides a healthier life. (oulation distribution and income level affects the roortion of +ottled )ater )ater drinkers in the country.
• Technologica Technologicall •
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t is re$uired to follow the technology closely. +ecause the observation of mineral water regarding the ingredients and the mineral roortion is imortant. 1ses of technology in recycling systems to recycle the glass bottled roducts and make them new green bottles for consumers to drink. (ackaging material develoments and also develoments in areas such as inventory tracking tracki ng using using 2FD 2FD tags tags %2adio %2adio Fre$uen Fre$uency cy denti dentific ficati ation& on& may come come to e!ert e!ert and influence
• Environmental •
,nvironmental analysis e!amines the local" national and world environmental issues.
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According to the data of the #oca #ola #omany3 all of the facilities are strictly monitored according to the environmental laws imosed by the government This is and will continue to be an area of influence on the bottled water market as evidenced by the resonses of roducers to issues such as food miles and ackaging waste.
• Legal •
There have been recent changes in the law which mentions the level of chemicals allowed
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in the bot bottle tled d wat water er.. The im imact act of thi thiss legisl legislati ation on is hig higher her as the nonnon-com comli liant ant organi4ation would be forced to shut sho. Legall aspect Lega aspect focuses on the eect of the national national and world legislation legislation The roduction of bottled water is well regulated and given the oor environmental credentials there may well be future changes.
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