As an entrepreneur, your brain is often overflowing with ideas for new ventures that you hope will bring further commercial success. But how can you know if your next service or product is viable? And is the current marketplace ready for it? Conduct a PESTLE Analysis using iMindMap to decide.
There are numerous factors that affect the environment surrounding any business, and how well these factors are understood and responded to will determine its success or failure. It’s crucial that every organisation identifies these factors and takes them into careful consideration before taking the plunge. These forces may be beyond your control, but to ignore them would be fatal for a business. Once external environmental factors have been identified, you will be in a stronger position to create a sound business plan that sets you on the road to success.
The PESTLE Analysis is a framework that can be used to analyse the macro-environmental factors that may have an impact on your organisation – political, economic, social, technological, legal, environmental. It can be used to gain insight into the current landscape surrounding your current or future business. By researching each of these factors using iMindMap you can soundly identify any potential threats to your business and adjust your strategy accordingly. Mind Mapping your analysis will give you an adaptable overview of the current macro-environment.
The stability – or instability – of the government in power will have a big impact on your business decisions. In iMindMap’s Mind Map View, create a Mind Map to act as a one-page overview of the current political climate for a simplistic summary.
Add main branches to highlight important policies, laws, foreign relationships, trade restrictions, etc. and use child branches to add in extra details. How do these affect your business model? As we know, politics is a fast-paced sector where sudden changes are common. Save your digital Mind Map so that it can be quickly updated at any time, keeping your overview up to date with all political affairs and putting you in a stronger position to overcome any undesirable changes.
Economic factors will play a huge part in determining the success and profitability of your business as they influence how consumers spend their money. Consider factors such as economic growth, (un)employment, austerity measures, exchange rates, inflation and so on.
For many of us, making sense of facts and figures can become overwhelming. Pick out the key information that is relevant to your future or current business and present these in a Mind Map. iMindMap’s Mind Map View allows you to create a visual report that is easy to digest. Your Mind Map can include images to represent the most crucial aspects of today’s economic landscape. Upload your own graphs and snippets from your research as JPEGs and insert these into your Mind Map. You can use coloured icons to indicate which economic factors present opportunities and threats to your business. Knowledge is power, and this visual report will fortify your business plan without getting weighed down with irrelevant information.
The social factors refer to the shared attitudes and beliefs of consumers that can affect their buying habits. These factors can include age, education, family, health, lifestyle etc. Follow reports in the media to stay aware of any trends that could influence these factors.
Use iMindMap’s Mind Map View to build a detailed profile of the society that you will be targeting. Will your product or service be desirable in today’s society? Create a reliable resource hub by inserting links to relevant websites, attaching important reports or uploading significant infographics that you come across in your research and attach them to your Mind Map’s branches. Your attachments remain hidden until clicked, so your overview of social trends will always pack a hidden punch.
The rate that technology is advancing is enormous; blink and you will miss the next big thing. In the past, longstanding organisations have suddenly crashed by failing to spot a technological trend that overtook their business. It may be necessary to adjust your business plan in order to exploit new trends in technology and make them work for you.
Whilst conducting your research on current and future technological trends, create a Mind Map to support your findings. With the radiating nature of its branches, along with the use of single keywords, a Mind Map spurs creative thinking and highlights key connections between ideas, allowing you to spot trends before they materialise. It is an ideal tool for problem-solving as its framework sparks innovative ideas that will place your business ahead of the curve.
Businesses need to have a sound understanding of what is legal and how laws can impact the work they do. Legal factors can include employment legislation, consumer law, health and safety, advertising standards and trade regulations. Can your business thrive while staying within the law?
Once you have conducted research in this area, display your findings in a Mind Map. With organisations having to conform to so many different and ever-changing legal factors, it is crucial to have quick access to important facts to avoid breaking any laws. Assign tags to branches on your ‘Legal’ Mind Map to group together related concepts. Save time by using these tags to filter through a vast amount of information. iMindMap’s powerful filtering system helps you to instantly find the relevant facts whenever you may need them.
Environmental factors relate to the ecological aspects surrounding your business such as climate change, global warming and weather. These days, businesses are expected to stay within pollution limits, set sustainability objectives and comply with ethical standards that lead to a minimal impact on the environment. Organisations fulfilling their Corporate Social Responsibility (CSR) are more desirable to consumers. Businesses must be seen to be conducting themselves in an ethical and sustainable way in order to survive in today’s marketplace.
While conducting research in this area, consider how your business could play its part in minimising its carbon footprint. Can you source supplies ethically and sustainably? What recycling procedures will be put in place? These are the kind of questions that your consumers and investors will be asking. Why not use iMindMap to create an ‘Environmental’ Mind Map that gives a visual overview of every ethical effort you will be making? When your Mind Map is complete, export it as a PDF to email to internal and external stakeholders to ensure that your plans are well publicised. You could even make this Mind Map available to download from your website, so that potential clients have easy access to your environmental plans.
A PESTLE Analysis will help any organisation stay aware of their macro-environment. Although these external elements are beyond control, using iMindMap to keep an up to date and adaptable overview of the current landscape, will help businesses to spot future trends and respond quickly and positively to any changes that otherwise could impact commercial success.