PEST-C analysis

India

a) Political factors– The Indian government has been supportive and on the front line on the growth of IT services. The government has
decided to contract IT job to IT companies developing new and more opportunities for the company and the IT industry in general. The
Indian government has made it easy and strengthened the Information Technology act, 2000 to provide a comprehensive legal
environment.
b) Economic factors– Global recession, increasing working pay, competition from other IT companies an increased contract fee are a
number of factors that impact the IT sector. Currency fluctuation and devaluation has affected the industry greatly during the recession
time. Recession has been one of the core factors that affect global economy. It causes low attribute rate due to job layouts and cuts. The
decline in the financial and banking industry has led to a decline in revenue and this has affected the IT sector greatly.
c) Social factors– These are factors that range from employee rights, race nationality of the IT Company of choice, language barrier or
other common social factors. Due to the large number of people in India who can speak in English, this has helped fostering good
relations in the industry and on the global platform. Many institutions in the country offer IT course creating jobs for many people at
lowers costs.
d) Technological factors– India offers lowest tariffs in the world. Today, India has the second largest telephone network after china
offering 3G , enterprise telephone services, WI-MAX and VPN have become the in-thing.
e) Legal factors– India has come up with great Acts that have made it easy for the IT sector to develop on. It has become easy for IT
companies to carry out electronic using legal infrastructure made possible by the Legal Aspects and Policies IT Act 2000. Government
can easily issue notification in the web signaling e-governance.
f) Environmental factors– Environmental conservation and protection is an issue that has been causing a lot buzz and it has gained
prominence with time. Deteriorating environmental balance has been threatening the sustainability of life and nature. IT sector has also
been affected by floods, earthquake, cyclone and tsunami.

Canada

a) Political Factor: Canada enjoys a very good political stability. It is in fact one of the safest countries in the world. With a low crime rate
and trustworthy policing services, Canada positions itself a very good place for business and tourism. It is worth mentioning that
Canada’s focus on international peacekeeping has earned it a very good global image.

b) Economic Factor: Canada is the 10th largest economy in the world as of April 2018. It has membership in the Organisation for Economic
Co-operation and Development (OECD), the World Trade Organization (WTO), the G20 and the Commonwealth of Nations. It also has
free trade agreements with a number of countries. For example, Canada signed a free trade agreement called Comprehensive Economic
and Trade Agreement (CETA) with the EU in September 2017. The Canadian GDP is expected to be around USD1.8 trillion in 2018
(Focus Economics, 2018). Economic Growth for 2019 is forecast at 2.0 per cent, up from an earlier projection for 1.7 per cent.

c) Social Factor: Canada is the 2nd largest country in the world by area; however, its population is not that big. As of May 2018, the total
population of the country is 36.90 million and the population density is 4 per Km2 (Worldmeters, 2018). Population growth has been
fairly consistent over the last four decades and currently there is no sign of slowing down. There is a big shortage of skilled workers in a
number of sectors in Canada and many business owners say that this shortage is obstructing the growth of their companies. The
government of Canada is dealing with this situation with the development of people in the country and a flexible immigration system.
Canada encourages immigration and people with appropriate skills and experience can apply to immigrate to the country.

d) Technological Factor: In fact, technology is one of the fastest growing sectors in the country.. The technology sector provides people
with high-paying jobs, with an average salary of $67,000 compared to the national average of approximately $48,000 (Rodgers, 2016).
Both public and private investments in Canada’s technology industry are growing swiftly.. In fact, many international IT professionals
and firms see Canada as one of the best countries in the world to advance their careers and grow their businesses.

e) Environmental Factor: Millions of tourists visit Canada every year to experience its scenic beauty. The Arctic mountains, glaciers,
lakes, forests, deserts, and many more offer tourists a diverse landscape which is full of surprises. However, there are a number of
environmental challenges that Canada is facing today. For instance, a number of air pollutants, acid rain, smog, and climate change are
affecting Canadians. Many Canadians in fact see air pollution a major environmental concern. However, it is worth mentioning that the
government of Canada has taken a number of initiatives to decrease air pollution and the emissions of greenhouse gases like carbon
dioxide that cause climate change.

f) Legal Factor: A number of relevant issues should be discussed here. For example, certain rights of employees are protected by law in
Canada. There are some minimum standards employers must abide by concerning employees’ hours of work, minimum wages, sick days,
vacation, dismissal, and many more. The Canadian Human Rights Act (CHRA) prohibits discrimination on the basis of gender, race,
ethnicity, age and a number of other grounds. There are many methods to do business in Canada. For instance, corporations, joint
ventures, general or limited partnerships, trusts, sole proprietorships, co-operatives, and Branch plant operations are the most common
ones. For international businesses, corporation is the most popular method of entry into Canada (Mercier & Woodman, 2016).

USA

a) Political Factors: The USA is the second largest democracy in the world. The country enjoys a stable political climate, even though there
have been some challenges recently. It also has an enormous influence over the political dynamics of many countries around the world.
However, the USA faces international criticism for some of its interventionist policies in some parts of the world. The USA advocates
and promotes democracy around the world. With a stable political environment, advanced infrastructure, and technology, the USA
positions itself as a great destination for foreign direct investment (FDI). Consequently, the country has been the first choice for many
multinational companies for foreign direct investment for a long time.

b) Economic Factors: The USA is the largest economy in the world in terms of nominal GDP. However, the recession in 2009 badly
affected the economy of the USA. Many companies collapsed and unemployment rates increased to an alarming point. Unemployment
fell in 2015, and income levels improved in 2016 (Amadeo, 2017). However, it is worth mentioning that labour is not cheap in the USA,
particularly when compared to that in China, India, and Mexico. There is no doubt that the country is an economic superpower and world
leader. However, it may turn out to be the 3rd in the global ranking by 2050 in terms of gross domestic product by purchasing power
parity (Martin, 2017).
c) Social Factors: The USA is the third most populous country in the world with a total population of approximately 327.2 million as of
2018. It sees one birth in every 8 seconds, and one death in every 11 seconds (US Census Bureau, 2017). 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.

d) Technological Factors: The USA is the global leader in science and technology. Americans have a longstanding fascination for
technology, and companies such as Apple, Microsoft, Google, Facebook, and many others have addressed the technological needs of the
Americans and the people around the world. And in doing so, they have become the global leaders in their respective field. The USA has
been at the forefront for adapting and applying technologies in a wide variety of fields. Technologies have changed the ways many things
are done. 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, it has also made many Americans upset. 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, and
India.

e) Environmental Factors : The USA has an extremely diverse geography, climate, and wildlife. This diversity coupled with other factors
has been a driving force to draw millions of tourists to the country. 75 million visitors from around the world traveled to the United States
in 2014 (SHAREAMERICA, 2015). Likewise, 79.62 million international visitors came to the U.S. in 2018 (Lock, 2019). Canada,
Mexico, United Kingdom, Japan, Brazil, & China are the top six countries sending tourists to the USA.

f) Legal Factors: The last element to address in this PESTEL analysis of the USA is the legal environment. Though a detailed discussion
on the legal environment of the USA is beyond the scope of this article, the article addresses some of the key areas in brief. Each state in
the USA has its own government structure and legal scheme. Businesses come under the regulatory environment of the state in which
they operate. The country upholds equal treatment of nationals and foreigners. Expatriate employees can expect an unbiased trial from the
judicial system. The USA also offers a strong legal system to protect Intellectual Property Rights.

UK

a) Political Factors: The UK consists of England, Wales, Scotland, and Northern Ireland. It is one of the most powerful countries in the
world. It is a modern parliamentary democracy and a constitutional monarchy with the monarch Political stability is a great strength of the
country; however, Brexit has created uncertainties and political debates. Some analysts believe that Brexit will create a chaos
unimaginable, whereas others believe it will open doors to immense opportunities for the country. Likewise, recent rise in violence and
crimes has caused serious concerns.

b) Economic Factors: The UK is the 5th largest economy in the world by nominal GDP (The World Bank, 2018). The recession in 2008 had
put the economy in trouble; however, the government took necessary steps to improve the economy. The minimum wage as of April 2019
for people aged 25 or over is £8.21 per hour which is likely to increase in near future. The current inflation rate is 1.7% as of September
2019. It rose to 3.1% in November 2017.). It is unlikely that there will be another quick increase; however, many analysts believe that the
age of low interest rate is over.The UK has long been a popular destination for foreign direct investment (FDI). Many business tycoons
and organisations from around the world have invested in a variety of industries in the UK. Sports, real estate, technology, grocery and
many other industries have drawn an enormous amount of interest from overseas.

c) Social Factors: The UK has a big consumer market. However, there are a lot of opportunities for organisations to cater for the needs of
older population. Real estate, holiday, insurance, health care and many other companies have already benefitted from this category of
population. The UK has historically been influenced by the concept of social class; however, the population is multicultural. Over the
years, companies have developed a variety of new products and markets to cater for the needs of different races and religions. There are
still many opportunities out there for organisations to explore. The UK is one of the top 10 countries perceived to have the most educated
population in the world. It is also No. 3 in the rank of overall Best Countries. However, it is worth mentioning that the costs of living and
higher education are on the rise.

d) Technological Factors: The UK is one of the most technologically advanced countries in the world. London is the great hub for both
financial and technological institutions. Businesses are frequently developing new technologies to offer the best solutions for their
customers. The advanced technological infrastructure offers entrepreneurs unlimited opportunities to do business in the UK.Technology
sector is a major contributor to the UK economy. A lot of investment and talent are coming into the sector. It is worth noting that the
investment and development are spreading across the country. The UK attracted £28bn in technology investment since 2011, compared to
£11bn in France and £9.3bn in Germany (McGoogan, 2017). However, the UK is falling behind the USA, South Korea, India, Japan and
some other countries in technological development.

e) Environmental factors affecting the UK: Economic activities impact on the environment; however, the UK has made significant
improvements in reducing the negative impact. The government, local councils, newspapers, charities and many others have taken a
variety of initiatives to create environmental awareness and reduce the negative impact of economic growth on the environment. The UK
sometimes faces challenging weather conditions. However, weather still plays an important role in tourism. Millions of tourists from
around the world come to the UK, particularly during summer. In fact, tourism is booming in the UK and contributes approximately
£127bn annually to the economy.

f) Legal Factors: The last element to examine in the PESTEL analysis of the UK is the legal landscape. However, a detailed discussion on
the legal environment of the country is beyond the scope of this article. Nevertheless, the article addresses some of the key areas in brief.
The Employment Act 1996 protects rights of employees. Maternity and paternity leave, minimum wage, holiday pay, sick pay, and some
other rights are legally protected. Likewise, the Equality Act 2010 protects people from any discrimination.

China

a) Political Factors: China is one of the most powerful countries in the world. It is a permanent member of the Security Council of the
United Nations. It is also the 4th largest country in the world by land area. Although China enjoys a stable political environment, the lack
of political freedom is an area of concern. Many analysts question the lack of openness of China’s political system. However, it is worth
noting that with a stable political environment, cheap labour and improved infrastructure, China positions itself as a great destination
for foreign direct investment (FDI). Unsurprisingly, China attracted a record high US$139 billion of FDI in 2016, making it the third
largest FDI destination in the world.

b) Economic Factors: China is the 2nd largest economy in the world by nominal GDP. However, it is the world’s largest economy on a
purchasing power basis.. The country has made a shift from a centrally-planned to a market based economy and the GDP growth has
averaged nearly 10 percent a year (The World Bank, 2018).However, it is worth noting that economic development has also caused some
 challenges for China. High inequality, rapid urbanisation, and environmental damages are some of the challenges that the country needs
to deal with in order to maintain its economic sustainability. One of the reasons why many global companies manufacture their products
in China is the availability of cheap labour. The standard corporate income tax rate is 25%; however, the Chinese government reduces the
rate to 15% for qualified businesses which operate in industries encouraged by the government. The individual income tax rates range
from 3% to 45% (PwC, 2018).

c) Social Factors: China is the most populous country in the world with a total population of approximately 1.4 billion (BBC, 2018). This is
a massive market for consumer products. As mentioned above, average wage level has gone up over the years resulting in an increase in
consumer spending. It is also worth mentioning that many people in China, like the citizens of other emerging economies, long for status
symbols such as luxury cars, latest smart phones and designer clothing to demonstrate their success. No doubt that increased consumer
spending and status symbols are great opportunities for both domestic and foreign companies

d) Technological Factors: As of March 2018, China has the world’s largest online population with 772 million users (BBC, 2018). There
are some big tech giants in China e.g. Baidu, Alibaba and Tencent. In fact, these companies and some others are so powerful that many
big companies from other countries have failed in China. China has set a vision to be a global leader in science and technology. To
achieve this, the country launched ‘mass entrepreneurship and innovation’ programme in 2015. This programme aims to spread
entrepreneurship throughout China. It also aims to help the country to move from a labour-intensive economy to an innovation-driven
one. It is therefore not difficult to imagine how great the opportunities are in China for both domestic and international companies,
particularly in science and technology sectors.

e) Environmental Factors: China’s rapid economic development has impacted on its natural environment severely. Water and air pollution,
industrial waste, deforestation, climate change, and biodiversity loss are some of the examples of environmental challenges facing China
today. However, it should be mentioned that the Chinese government has taken a number of initiatives to address the environmental
concerns. Examples of initiatives include but not limited to decentralization of responsibility to local levels, and encouraging public
participation in environmental protection.

f) Legal factors affecting China: Legal environment is the last element to discuss in the PESTEL analysis of China. There are a number of
laws that regulate business and employment practices in China. For example, labour standards, employee remuneration and benefits,
labour disputes, and other relevant issues are regulated by The PRC Labour Law 1995, the PRC Labour Contract Law 2007, and various
administrative regulations (Chen, 2018). The Catalogue of Industries for Guiding Foreign Investment regulates FDI in the country. The
Catalogue divides FDI into four categories i.e. encouraged, restricted, prohibited, and permitted. Encouraged category includes 384
industries. Agricultural machinery manufacture, and fruit and vegetable drink production are some of the industries in this category.
Restricted category includes 35 industries. Construction and operation of power grids, banks, and securities companies are some of the
industries in this category. Prohibited category includes 28 industries. Air traffic control, postal companies, and domestic express delivery
of letters are some of the industries in this category. Permitted category includes industries that do not fall into any of the above
mentioned categories (Chen, 2018).