Question

Cee Mimi is a Canadian owned women’s swimwear brand with the objective of supplying consumers with sustainable, trendy and affordable pieces. It is exporting from Singapore and imported to Indonesia. Cee Mimi aims to encourage international trade by sourcing raw fabrics and textiles internationally. Indonesia is one of Singapore’s top five trading partners, with Indonesia accounting for over $27.4 billion dollars, around 7% of Singapore's total exports (Workman, 2020).

I need you to construct one PESTLE analysis that accounts for both countries.

These are the instructions below.

Conduct a PESTLE analysis:

Consider their exchange rates inflation rate and other financial information that will affect the sales and pricing of your goods.Things to consider here: What special challenges pertain to the export markets? Consider what your competition might be in the Export country.

Answer 1

PESTLE analysis is the method for analyzing the factors which affect the company. It analyses both the external factors and internal factors that affect the company. It strongly impacts company decision-making. The PESTLE analysis focuses on the factors that influence the company's political, cultural, social, technical, legal and environmental factors.

While considering the political factors such as the government policies and regulations on import and export that affect the exporting from Singapore and importing to Indonesia. If the government in Singapore adopts export friendly policies such as more export subsidies and incentives in favor of cloth brands. And also the government adopts restrictive policies for the import of swimwear brands helps to increase the business activity of Cee Mimi. At the same time, the government policies of Indonesia which must favor the imports of swimwear help to the growth of the business by Cee and also a stable government in both countries are needed for the development of her business.

When considering financial factors, If Cee Mimi is financially strong then she can expand the export of swimwear. Export and import required lots of money and are at high risk due to the flexible exchange rate or other factors stated in this answer. So, there are insurance cost, travel cost and Maintenence cost which is high inn export and import business. Financial status of a company also affect the business.

When considering political factors such as government policy and import and export laws, they impact exports from Singapore and imports into Indonesia. If Singapore's government adopts an export-friendly agenda such as more export discounts and rewards in favor of fabric brands. And the government also adopts stringent measures for importing swimwear labels, which continues to improve Cee Mimi's market operation. At the same time, Indonesia's government policies that would benefit swimwear imports help Cee expand the business. And the growth of her company always requires a stable government in both countries.

Although taking into account global conditions, economic factors such as people's wages, exchange rates are favorable to her company in favor of Singapore.
Social factors such as swim cloth demand and the increase in swimming habits among Indonesians are boosting Cee's company.
The innovation of new technology for swimwear development in Singapore improves the swimwear efficiency helps to increase Cee's market performance. At the same time, Indonesia prefers its market operation with no advancement in new technology for swimwear.

Including the favorable legal and environmental conditions for exporting swimwear from Singapore and preferred for importing into Indonesia, Cee's market operation increases.