Legislation and legal regulation of both the country to whose jurisdiction it belongs and other states, if the company is engaged in foreign economic activity. This also includes tax and trade policies that can affect pricing and the competitiveness of the product.
Stability of the political situation. Even the next parliamentary elections affect business strategy, although this is an expected event. Even more powerful is the impact of mass protests, which create risks and uncertainty.
Geopolitical factors, which include relations between countries, including trade and military conflicts.
The enterprise has to take all this into account in order to reduce the impact of negative factors, prevent their consequences, etc.
Economic
This group mainly includes macroeconomic factors, such as:
economic cycles - what phase (growth, recession, stagnation kazakhstan mobile database or recovery) economic activity is currently in;
the level of inflation, which affects both purchasing power and the cost of raw materials, as well as the level of savings;
interest rates that determine the availability of credit resources;
exchange rates - they affect even those enterprises that are not engaged in foreign economic activity, but purchase imported raw materials or equipment, etc.
When developing a strategy, companies take into account both the current state of affairs and forecasts.
Sociocultural
Sociocultural factors also influence strategy, because the company needs to interact with consumers, staff, partners. And this is impossible without a sociocultural context. This group includes social and demographic factors, level of education, behavioral factors and consumer preferences. Cultural characteristics play an important role, because they influence lifestyle, demand, and customer behavior when choosing a product. For example:
the demographic factor, manifested in the change of generations, influences consumer behavior: the older generation is more active in searching for products on sale, the younger generation uses promotional codes in online stores;
concern for the environment as a trend in public life is reflected in the requirements for packaging (it must be reusable or recyclable);
national cultural characteristics influence the consumption of traditional products;
lifestyle - is becoming the basis for hybrid shopping, when shoppers go to shopping malls on weekends and order online on weekdays.