Levis Case Studt

In: Business and Management

Submitted By tammy2868
Words 2229
Pages 9
1.0 QUESTION 1
1.1 PESTEL Model
The first marketing perspective action that could have been taken by Levi’s is implementing the PESTEL model. PESTEL model can be look as a market research analysis which views and group macro-environmental factors as a whole group picture and it is purposely for the manager to make decision for the organization. PESTEL can also let the manger to see the current market status, business position, and the opportunities of growing products and business.
There are six factors that are grouped in the PESTEL model, the first factors is political factor which is considers about the terms and change and activities of the government. For example, government has increased the tax rate, thus the manger will make adjustment by increase current price of the year due to maintain current amount of profit. The second factor is the economic factor which looks into the current economy situation, such as inflation or recession and the exchange and interest rate. Manager will invest in more machinery or other investments when the interest rate is low.
The third factor is the sociological factor which looks into the current needs and culture of the social. For instant, the demand of skinny jeans among the youngsters have increased, Levi’s will design and produce this kind of jeans. The next factor is the technological factor which deals with the affect changes or growth of technology of Levi’s. This factor should be consider seriously by Levi’s, because the new development of technological can reduce the manufacturing cost and create better quality products.
The other factor is the environmental factor, which is about the current climate and the environmental change in the world. Levi’s can produce some environment friendly products. The last factor will be the legal factor which looks into the rules and regulation which can affect the…...

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