Macro-Environmental Assessment

 
 
 
 
MACRO-ENVIRONMENTAL ASSESSMENT OF THE STRATEGIC POSITION OF A GLOBAL TRAVEL AGENCY WITH HEADQUARTERS IN TAIWAN

This paper develops a macro-environmental assessment of the strategic position of a global travel agency with headquarters in Taiwan, Republic of China. The assessment of the Company's strategic position is developed within the frameworks of three analyses - PESTEL [political, economic, social, technological, environmental (ecological), and legal) analysis, SWOT (strengths, weaknesses, opportunities, and threats) analysis, and Five-Forces analysis.

PESTEL analysis is concerned only with the external environment within which the Company functions (Beech & Chadwick, 2004). PESTEL analysis is especially important for firms such as the global travel agency with headquarters in Taiwan that conduct business globally.

Political tensions among and between countries can have seriously adverse effects on the business of travel agencies that operate on a global scale. The political tensions between the Republic of China and the People's Republic of China adversely affect the operations of globally operating travel agencies in relation to travel between the two countries (or one country and one of its provinces, depending on one's orientation), as well as (to a lesser extent) travel between Taipei and some third counties.

The threat of global terrorism also has adverse effects on travel to some countries and some global regions.


     
 
 
 
    

 

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Category: Economics - M
 
 
 
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