Question

Based on your research in PEST and trends, where are there voids in the market? What do you think can be done to fill these voids?

Answer 1

PEST Analysis looks at external factors and is primarily used for market research. It is used as an alternative to SWOT analysis. Pest analysis refers to Political, Economical, Social, and Technological factors which manipulate the business environment.

So based on the research in PEST and trend voids in the market could be;

(a). Government decisions and policies which affect a firm’s position and structure ie. Tax laws, monetary and fiscal policies as well as reforms of labor and workforce, all influence companies in future. This void could be filled by, to act and be compliance with such policies.

(b). Economical factors this is the most important since it impacts business in the long run. Inflation, interest rates, economic growth and demand/supply trends are to be considered and analyzed effectively before planning and implementing. Economic factors affect both consumers and enterprises.

(c). Social factors which involve the trends of population, domestic markets, cultural trends and demographics. These void filled by assessing the market and improve their products/service accordingly.

(d). Obsolete technology which results in lowers barriers to entry plus decreased production levels as it results in unemployment. This void could be filled by conducting research and development activity, innovation in technology which would fill technological gap and leads automation and incentives.