Industry: Information Technology

Host Country: United States

Company Name: AK Web Design

A PESTLE analysis is very important when determining what things need to take into account when starting or expanding a business. In our case, we will be looking at the United States and with all the things going on in the country, there is a lot to consider.

Political factors

The United States (U.S.) is one of the largest democracies in the world. They operate with a president which is elected every four years. The political climate is slowing becoming more unstable as it gets closer to the next presidential campaign season. Despite their issues, the U.S. still holds a lot of political influence with other countries around the world. They also draw a lot of criticism by the way they choose to operate in those countries.

All over the world the U.S. promotes and advocates for a democratic government style. This coupled with an advanced infrastructure, a seemingly stable political environment, and their technological advancements, they position themselves as a necessary destination for FDI (foreign direct investment). For a lot of multinational companies, The U.S. was seen as their first choice, but now they have direct competition in countries like India, China South Africa, and Brazil.

Economic Factors

The United States is one of the largest economies in the world with a gross domestic product (GDP) to be estimated at $20.94 trillion (business insider). 80% of that is due to the services sector. The GDP had been on a consistent incline since 2016, but COVID effected those numbers. The numbers are starting to turn around with Q4 of 2022 showing a +2.6% increase and Q1 of 2023 showing a +1.3% increase.

Social Factors

According to the U.S. census, as of 2021 there are approximately 332 million people in the country. America is known as a cultural melting pot because there are several religions, ethnicities, and other groups accepted and acknowledged there. Because of some of the things that are going on politically coupled with the racial, women, and LGBTQIA issues going on, this could be seen as a polarizing time in the country.

Technological Factors

The U.S. is one of the largest advertising markets in the world. This is in part due to social media and technology, but this might be changing. Because the company Apple has changed their privacy settings, it is expected that an estimated $58 billion will be spent on social media ads, which is only a slight increase.

The U.S. has also had influence in other industries, specifically technology and science. This influence has led to companies like Microsoft, Google, Facebook, and Apple to be leaders and pioneers in their respective niches. To help with growth, the U.S. created the ICT (information and communication technology) sector, which brings together services and manufacturing industries whose products enable the function of information process and communication by electronic means including display and transmission.

Legal Factors

The legal factors can be tricky because while there are federal laws, each state also has its own set of laws. AK Web Designs home base is located in Ohio, so that states laws are the ones that need to be paid the closest attention to.

Environmental Factors

The U.S. leads the world in extreme weather catastrophes. A lot it has to do with there the U.S. sits on the globe, but global warming has also played a part. Because this is a known issue and prevention is not an option, preparation and recovery are the primary ways to make sure an IT company will be ok in the event of a natural disaster.

According to Forbes, the best steps to take when after a disaster are:

• Emergency Notifications
• Assessment
• Monitoring of Disaster Recovery Operations
• Triage\Troubleshooting
• Analysis
• Reassessment
• Status updates

If a company does the groundwork beforehand and follows these steps in the midst and after the weather disaster, the company has the potential to bounce back and be ok.

Question1: Respond to at least two of your classmates by commenting on their posts with constructive comments that move the conversation forward. Though two replies are the basic expectation for class discussions, for deeper engagement and learning you are encouraged to provide responses to additional students and to respond to any comments or questions from other students. In addition, responding to the instructors questions or comments is mandatory. Continuing to engage with peers and the instructor will further the conversation and provide you with opportunities to demonstrate your content expertise, critical thinking, and real-world experiences with the discussion topics.