Task2-PESTEL analysis for Lexxy Coffe Stand
The coffe industry can be affected by many political&legal factors including gouverment and trade relationships between the coffee producing country and the country to which the coffee is to be exported.
Regional integration is a current trend and external factor that presents an opportunity for Lexxy Coffe to globally expand.
Comprehensive program of regional tariff reduction, will be continuously implemented in the next several years
Governments support globalization that means Lexxy Coffee can take advantage to expand at global level
The company can enhance its sustainability performance to exceed expectations and requirements based on environmental protection laws.
The company has opportunities to improve its performance by satisfying product safety regulations and regulations on ingredients from genetically modified organisms.( Hall,D(2008) Business Studies) (Boody D(2017) Management and Introduction)
Some economic factors which can affect the coffee stand are :The high economic growth of developing countries and the declining unemployment rates create opportunities for Lexxy Coffee to gain more revenues from various markets around to the world.Lexxy Coffee has opportunity to increase its revenues based on increasing demand for specialty coffee, which is due to a growing coffee culture and a growing middle class around the world.(Boddy,D (2017) Management and Introduction )
The exchange rate will play an important role for the company: depreciation will make exports cheaper . Hall,D(2008) Business Studies )
If prices went up but wages didn’t, borrowers wouldn’t be better off. But, usually
wages increase in line with inflation. IF the company are saving money in a bank, the rate of interest will get lower than the rate of inflation meaning we are becoming worse off.( http://www.economicsdiscussion.net/essays/inflation-essays/essay-on-inflation-types-causes-and-effects/17400)Impacts of Socio-culturals
It will exapand consumers base to include the buyers from the lower and the middle income.
Lexxy Coffee has opportunity to increase its revenues based on increasing demand for specialty coffee, which is due to a growing coffee culture and a growing middle class around the world.
Usually our clients are young between 18-40 years old who appreciate the quality of our service. The customers flow is more high in the morning and afternoon .those people are from all backoungs like English Spanish Latvian etc (Boody,D (2017) Management and Introduction
Technological factors & Enviromental
Internet is very importand to the customers they can now check the web and shipping our coffe also enabling mobile payments.
Development in coffe machines for provide the best and highest cofffe from the market .In our days is very important to promote the products online so our company running as well a website there we speak about company and brand .Lexxy Coffe will be very carrefoul with waste we will but just in the right place
.We are in a central zone so we need to be carrefoul with noise because near us living people and other shops . The business sustainability trend focuses on business processes that ensure minimal environmental impact. In relation, responsible sourcing emphasizes corporate social responsibility in the supply chain.
The company has opportunities to enhance its performance in these areas. Boody,D (2017) Management and Introduction )
The company already has responsible sourcing policies.Lexxy Coffee also has the opportunity to offer more of this products in recyclable packaging