What is the PESTEL framework and what is its purpose?

Question 1 of 10

What is the PESTEL framework and what is its purpose?

Question 2 of 10

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Michael Porter is famous for his Five Forces Framework. What was the purpose of this framework and what is his theory?

Question 3 of 10

When a firm enters the international markets, explain the two opposing forces they face

Question 4 of 10

The two opposing pressures in the international markets result in four different strategies. What are they and how are they different?

Question 5 of 10

There are four international strategies associated with expansion outside the U.S. Export strategy (or sometimes also called international strategy), multi-domestic strategy, transnational strategy, and global strategy. Once an organization decides on a strategy, there are four key modes of entry used to enter the international market. What are they and how to they differ?

Question 6 of 10

Explain innovation diffusion. What does it mean and what are some of the aspects of the supply and demand factors that determine diffusion pace? Give an example of innovation diffusion.

Question 7 of 10

What is the difference between deliberate strategy and emergent strategy? Give examples.

Question 8 of 10

Organizations are structured differently. Most common structures are divisional, functional, matrix,

multinational and project based. How does a company decide which structure is best suited for them?

Question 9 of 10

How do you describe a turnaround strategy? When is it necessary and what does it entail?

Question 10 of 10

Balogun and Hailey identify four types of strategic change. What are they and what is their message regarding these changes?


Management Questions

Question 1

PESTEL is a tool used by marketers to recognize external factors such as economic, political, technological social and environmental that influences the business dealings. Economic factors will establish the business’ strength while the political will help to set the site of the organization head office so that high sales are achieved. Similarly, technology will ensure that the business will adjust to changes to remain competitive. Generally, the aim of PESTEL is to find out the performance of business… 

Question 2

The function of Michael Porters tool is to provide an outlook for evaluating and analyzing the position and strengths of a business. The success of a business can be evaluated using the five forces of business as suggested by Michael Porter. He dwelled on …

Question 3

The two opposing forces that a firm is likely to face when entering the international market include drop of cost and adjusting to the local market.  A new firm will always strive to reduce the cost of commodities and adapt… 

Question 4

The different strategies as a result of opposing pressures include; Multidomestic Strategy- Low Cost High Adaption which is aimed at minimizing the costs of transportation and Global Strategy-High Cost Low Adaption, which is an approach for controlling expenditure and maximizing manufacture.  Whereas uniformity of products is achieved, it restricts one to adjust to a local market. Moreover, a Transnational Strategy-High Cost High Adaption is where a firm will be searching for cost effective site for production.  Under the International…

Question 5

The four modes of entry to an international market include Licensing and Franchising where a firm will get a royalty with the permission to use its logo. Exporting as a mode of entry involves a country selling its commodities to another country. Besides, Wholly Owned Subsidiaries as an entry mode is where the company is owned by itself with no other shareholders. In addition, Strategic…

Question 6

Diffusion can be explained in regard to occurrence of developments and technologies taken by people. Supply and demand will be characterized by a certain trend in an area which will enable the customer to increase demand hence more supply.  For instance, Samsung providers will continue manufacturing new versions because they are aware their…


Deliberate strategy is a policy that is aimed at attaining the business.   This, for example, is achieved through adjusting changes from the management level to the bottom level. Emergent strategy involves identifying unpredicted results and then finding ways to integrate them into future plans. For instance, making changes as the business prosper…

Question 8

A company will decide the type of structure to apply by identifying their objectives at the first place and the way they will want to achieve such goals. DOD for instance uses divisional structure because each subdivision…

Question 9

A turnaround strategy involves setting a policy that will ensure a business that has been deteriorating and making losses is now making profits. This plan is important as it ensures that business will prosper and gain its glory. It will be achieved by assessing the reasons behind its failure. For example, a business entity that has not been making good sales will have to establish the …

Question 10

The strategies according to Balogun and Hailey include evolution, which involve the external and internal factors during execution of the changes. Also, adaption as a strategy is where the final outcome is realignment. Besides, revolution strategy involves the change being transformational. Reconstruction strategy occurs when the change…

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