Question

In: Economics

case:-DETROIT BIKES: BECOMING THE BIGGEST BICYCLE MANUFACTURER IN NORTH AMERICA by Ivey publishing PEST and PORTER...

case:-DETROIT BIKES: BECOMING THE BIGGEST BICYCLE MANUFACTURER IN NORTH AMERICA by Ivey publishing

PEST and PORTER analysis

Solutions

Expert Solution

PEST and PORTER Analysis:

PEST is for Political,Economic,Social and Technical.It is uused to assess these factors related to business situation.In the long term,it affects business's activities and performance.

Political forces involves political stability,tax policy,tarrifs,regulations,reforms.It can change by the government.

Economic factors:Detroit bikes becoming biggest bicycle manufacturer in North America,it involves wage rate,inflation,interest rates,cost of living,growth of economy creates large impact on organization.

Social factors:It varies from various culturs to various countries.It depends on Population growth rate,demographics,health consiousness etc.

Technological factors:It is very competitive in nature.It involves ecological as well as environmental aspects.It should create new ideas considering technologies

PORTER's five forces are given as:

Threats of substitute

Threats of new entrants

Competitive rivalry

Bargaining power of customers

Bargaining power of suppliers


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