Essay On Pestle On The Construction Industry

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PESTEL Analysis
PESTEL stands for Political: highlights the role of government and how this affects the company strategic choices. Economic: refers to factors such as business cycles and economic growth rates within the country that the company is located. Social: influences the culture of a country and how they change also the demographics. Technological factor appeals more to innovations such as the Internet and new technology. Environmental focuses mainly on green issues such as pollution and waste. Legal focuses mainly on legislative issues such as health safety and environmental issues.
PESTEL analysis factors apply to Bryant homes as follows; Political: the UK government policy directives, planning and environmental issues including sustainability affect the construction industry quite a lot. In the economical sector the economy’s health and interest rates affect demand for the commercial and the residential property, furthermore the taxation in the UK is used as a mean to encourage improving environmental performance; In addition to all this we can also add that as an economical factor the amounts of money that are needed for advertising the company’s products and services this action helps the company’s clients to understand how the company works. Also the construction industry in the UK is increasingly interested in whole life costs of the building, which includes initial capital costs and operating/maintenance costs. As far as the social factor goes changes in the birth divorce rates and the average number of people living in a household affect the demand of housing. Also we can take into consideration that there was a perception that the company’s builders had a tendency to dictate what the customers needed and had rat...

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...rs. Furthermore any big actions taken by the company where copied by its competitors due to this fact Bryant Homes decided to take certain actions as far as advertising is concerned in order to be able to compete with its competitors. Apart from all this most costumers and homebuilders where under the impression that most home building companies used the same products. This made it difficult for them to remain loyal to the company and choose its products. For that reason Bryant Homes decided to interest their potential customers and used other means of communications with their customers; it used simple information such as price and the size of houses to attract their customers. Furthermore Bryant Homes introduced new aspects of housing such as privacy, which is very important in the UK also it started focusing on the image of the houses such as garden and the view.

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