Free Essay: PESTEL Analysis of Hul

Free Essay: PESTEL Analysis of Hul

HUL [Hindustan Unilever Limited] is India’s largest fast moving consumer Goods Company. Hul is a subsidiary of the Unilever a leading suppliers of fast moving consumer goods with strong local roots in more than 100 countries across the globe. HUL has been in existence since 1993 thanks to its great analyzes of the macro-environment. The PESTLE analysis of HUL has made easy for the company to enjoy great ranks in the market. This analysis has helped identify the external forces that impact its operations.

HUL has created a great empire over years and it has gathered a lot of wealth and income especially when it offered equity to Indian shareholders. Evidently, it has been able to offer products such as soaps, teas, shampoos and detergents to over 700 million consumers. The PESTLE analysis is a vital strategic tool for understanding the market growth or decline that the HUL has relied on invariably. The mainstay aspects of PESTLE analysis include the following;

  • Political aspects

Political factors are known to impact company’s ways of operation. Political factors can easily build opportunities and advantages for any company. Legislation, voluntary codes, market regulations and trade agreements are factors that have influenced operations of HUL. Tax levies and tax breaks have controlled the market in one way or another.

  • Economic factors

Global interest rates and fiscal policy are all agreed around economic conditions. The climate of the Indian economy controls how HUL consumers, suppliers and many stakeholders conduct themselves. A growing economy will have effects on HUL operations as it will increase unemployment, lower stakeholders’ confidence and high spending power.

  • Social factors

In the business world, it is wise for any entrepreneur or enterprise to pay attention to societies and the media. Social factors impact consumers’ attitude, interests and opinions. Social factors shape consumers, the way they behave and what they are willing to purchase. Population changes in India have influenced the way HUL operates especially supply and demand of goods and services within an economy.

  • Technological factors

Technological infrastructures like internet and other ways to share information have impacted the operations of HUL and many other companies. It has also become easy for many companies to manage their operations and for consumers to expect instant results. Faster exchange of information has become the in-thing for stakeholders and consumers.

  • Legal factors

These factors come with both external and internal factors. Certain laws affect the business environment while others have certain policies that any company can maintain. HUL has been impacted by consumer laws, safety standards and labor laws among other rules.

  • Environmental aspects

These are factors that are determined by surrounding environment and they have influence on other areas that go hand on hand with business environment. Factors of a business environmental analysis like that of HUL or any other company include climate, weather, global changes in climate and geographical location.

There are many outlines for many companies to conduct PESTLE analysis. Looking at the HUL PESTLE analysis is one of the great ways to succeed in the business sector. These factors have made the company to grow and meet the needs of many clients and in most of apt means. Development sustainability has become the first priority for HUL over the years.

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