PESTLE Analysis is one of the most comprehensive models to study the effect of various forces present in the environment and subsequently prepare oneself to exploit the opportunities and defend against the threats.The presentation has shown this methodology through an example been done for Bajaj Auto. Ltd

1. P E S T L E
PRESENTED BY:
NIKITA BHATKAR
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2. Presentation Agenda
• Introduction
• PEST analysis
• PESTLE analysis
• Aim of analysis
• Bajaj Auto ltd-PESTEL Analysis
• Conclusion
2

3. Introduction- Bajaj Auto Ltd(BAL)
Bajaj is India’s second largest motorcycle maker, smaller than
Honda Motorcycle Scooter India, but larger than TVS Motor Co. Ltd.
Bajaj Auto, is ranked as the world’s fourth largest two-wheeler
and three-wheeler manufacturer.
The company is well known for their R&D, product development,
process engineering and low-cost manufacturing skills.
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4. PEST Analysis
It is a simple and effective tool used in situation analysis to
identify the key external (macro environment level) forces that
might affect an organization.
. • Economic
• Ethical.
• Socio- Cultural
. • Environmental
. • Technological
. • Demographic
• Legal
. • Political
MACRO ENVIRONMENT
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5. PESTLE Analysis
Incorporating the legal and Environmental dimensions in the
model makes it more comprehensive and gives better results.
PEST
LE
PESTLE
+
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6. Aim of the analysis
• Find out the current external factors
affecting an organization..
• Identify the external factors that may
change in the future..
• Exploit the changes(opportunities) or defend against
them(threads) better than competitors would do..
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7. Bajaj Auto Ltd- PESTLE Analysis
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8. POLITICAL FACTORS
.
• It is reported that its total sales of the products
distributes equally well within the country and outside
the country.
.
• Has received assistance for development of vehicles
propelled by alternate energy sources from Indian
Government.
.
• It aimed at gaining integrated, phased and self-sustained
growth of the company to flourish outside India.
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9. ECONOMIC FACTORS
.
• Inflation, recession and currency are three important
economic factors that Bajaj Auto Ltd noticed.
.
• The economy of the company fell down tremendously
around 2000 due to ignorance towards customers.
.
• It laid easy installment rules with less interest rate thus
makes more segment people to go for its product
products.
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10. SOCIAL FACTORS
.
• As the purchasing power of the common has risen in
various markets across the world the purchasing of these
transport necessities have gone up.
.
• Purchasing these products prove to be beneficial for the
common man as their price levels are comparably
suitable for the common mans pockets.
.
• Possessing these products(two wheelers) are considered
as status symbols in many societies.
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11. TECHNOLOGICAL FACTORS
.
• Bajaj Auto Ltd has invested largely in its product research
and development field and thus its products are more
consumer friendly.
.
• One of the most innovative and technologically
advancements could be seen in its two-wheeler section
that gives a great experience to the bikers.
.
• Aiming at best fuel economy of transport.
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12. LEGAL FACTORS
.
• Bajaj has been in a number of patent cases with players like
Honda, Hero and Yamaha.
.
• The regulations in the country like India are governed by the
Ministry of Shipping, Road Transport and Highways.
.
• The Principal instrument governing the automotive sector in
India is the MOTOR VEHICLES ACT,1998(MVA) along with the
CENTRAL MOTOR VEHICLES RULES 1989 in India. (CMVR). These
acts governs the emission norms and safety norms.
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13. ENVIRONMENTAL FACTORS
.
• Physical conditions like environmental situation affect
the use of automobile in an economy.
.
• Physical infrastructure such as roads and bridges
affect the use of vehicles.
.
• Increasing number of vehicles on the road also
increases the pollution.
.
• Best option could be the use of bio-fuel or electric
vehicles.
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14. CONCLUSION
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• PESTLE Analysis is one of the most
comprehensive models to study the effect of
various forces present in the environment
and subsequently prepare oneself to exploit
the opportunities and defend against the
threats.

15. T H A N K
Y O U
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