Question

Perform a Pest Analysis of Russia

Answer 1

Answer:

Overview:

Russia/ Federation of Russia is the country which is located in North of Europe and Russia and considered as the bridge between these two continents. Russias capital is Moscow and its currency is Rubel.Russia is one of the countires which are really rich in terms of natural resources. Russia is extremely dependent on exporting natural resources and specially on natural gas and oil. of winter besides it does not snow all over the year. Even Russia is big country, population wise it stands at 9th rank in the world.

The price of Russia's natural resources are falling. Russia's population is declined at 5% since 1993 and although it is slowing there are no signsof reversing as alcoholism, drug addiction and AIDS are rising constantly in Russia.

Russia's inflation is high at 12% and unemployment is also rising from 6% and up.

Political:

Russia has an open foreign relationship strategy. Until 2009, they have official relationship with 191 countries and 144 embassies. It is a good opportunity for trade and ecconomy of the country. In fact, Russia is playing very important role in maintaining peace and safety of the world.

Another advantage of Russia is they implemented the technology and the military forces from the USSR. Russia has the biggest store of nuclear weapon with the military which includes navy, ground force and air force as well. Russia is one of the countries with well developed and home grown arms industry. Russia is at 1st rank in producing and exporting weapons, they not only produce weapons for themself but also sell to 80 different countries around the world.

With the strong and peaceful relationship with other countires, it is push factor for Russia to expand their economy and as well as to attract more investors from around the world. The political side takes the main role in order to run the business of the country.

Russia's current president is Mr. Dimitriy Medvedev and prime minister is Mr. Vladimir Putin. Russia is a federation but there is still involvement between the government and region.

Economic:

Russia is the largest country in the world. It has an upper-middle income and one of the world's richest countries in terms of ra material aand accounts for 20% of the world's production of oil and natural gas. Between the period 1998-2007 the Russian GDP expanded by an estimation of 69%. At the end of 2007, Russia's FDI ccounted to $103 billion.

In few years Russia became one of the largest recipient of FDI. As far as economical faactor is concerned, Russia grew by 8.1% in 2007and 7% average growth rate per year. The Russian economy risked going into recession from early 2014, mainly due to falling oil prices, sanctions and the subsequent capital fight. The economic development of the country has been uneven geographically with the Moscow region contributing a very large share of country's GDP.

The Russin motor vehicle market grew by 57% in 2007. Russia is the 3rd largest car seller in Europe and 6th largest in the world..

Social:

Social factor plays a significant role and have a great influence on the business in Russia. This factor should be considered before entering into Russian market. But it depends on type of business companies performing.

After the economic recession in 1990, the society converted from democratic structure of aristocratic structure and it created difference between rich and poor.

In Europe continent, Russia is one of the counties that being affected strongly by HIV and alcohol poisoning.

Even there is no obvious classification structure in society, the stratification is judged by wealth. The most obvious evident if capitalism in the whole society is that people have started to spend on expensive cars, clothing and outfits which normal people can not afford. Russians love music, ballet dance with coposrs, artists and literature is common in Russian society.

Technology:

Russia is the rich country in science tradition. Since early 18th century Russia's technology sector started to emerge and still continues to develop. Russia is the leading country in space science and technology and it sent first man in space. Russia has paid more attention on advanced techonology like Nanotechnology.

Russia has made good progress and contributions in fields like Aerospace engineering, Mathematics, Chemistry and earth science. Russia is one of the biggest supplier of army weapons and materials and still they maintain peace and security in the world.