STEEPLE Analysis

• Business tool for understanding a business’ external environment

• Guides decision making by analyzing opportunities and threats

1. Social Factors

• Population demographic can change

• Society’s attitude towards more issues

• Cultural and religious beliefs

• Societal pressures towards more ethical and social responsibilities

• Language

2. Technological Factors

• Innovations in technology

• Information technology (social media enhances)

• New working practices

• Job creation

• Productivity and development

3. Economic Factors

• Controlled inflation (rise in general level of prices)

• Reduced employment

• Economic growth

  • Boom - level of economic activity rises

  • Recession - fall in GDP for 3 quarters

  • Trough (slump) - bottom of recession

  • Recovery - level of GDP starts to rise

• Foreign relations and exchange rates

4. Environmental Rates

• Changes in social attitudes towards environment

• Weather and seasonal changes

• Health scares

• Waste disposal and recycling from media and pressure groups

5. Political Factors

• Laws and policies

• Increase or decrease in interest rates

• Political corruption

6. Legal Factors

• Consumer protection legislation

• Employee protection legislaion

• Competition legislation

• Social and environmental protection legislation

7. Ethical Factors

• Client confidentiality

• Bribery and other illegal transactions

• Treatment of employees

Consequences with Changes to the STEEPLE Analysis

• ETHICAL views and SOCIAL norms

  • Affect company’s products, activities, and marketing strategies

• POLITICAL and LEGAL

  • Force businesses to operate and comply to regulations

• TECHNOLOGICAL

  • Adaption of newer technology and efficiency increase

• ENVIRONMENTAL

  • Forcing engagement in sustainable production processes

• ECONOMIC

  • Affect costs of operations, spending attitudes of customers