Analysis of Adidas

POLITICAL FACTORS Political stability is an important factor in any country for Adidas. Political and regulatory risks include potential losses from expropriation, nationalization, civil unrest, terrorism and significant changes to trade policies . In particular the Adidas convocation faces risks arising from sudden increase of import restrictions, charges in the taxation system of a country, minimum wage policy, import tariffs and duties that could compromise the free flow of goods.ECONOMIC FACTORS sparing growth and interest judge are major factors for any prudence in the human, if interest rates are too high and go along rising, then the demand for products will fall, as it makes redeeming(a) more good-natured and borrowing more expensive (Babette & Ferrell et. al 2008). Whereas if interest rates are too low, people are encouraged to spend, as saving isnt attractive. This means that there is more money going rhythm method in the economy and makes goods seem cheaper, w hich is bad for the economy as it causes swelling to increase. This is why it is important that interest rates are stable. Taxation, VAT, Inflation, unemployment and per capita income highly make a motion the companys profitability.SOCIAL FACTORS Adidas target market comprises of people from different affable backgrounds. The Adidas Group is minted by peoples religion, race, culture, education levels, population, gender, get habits and lifestyle. Different religions like Hinduism, Islam, Christianity, Judaism and many more have different buying patterns and opinions for any products they buy (Wilson 2005). The Adidas Group has penetrated most countries so all these sociable attributes play very important roles in deciding the companys strategy. PEST ANALYSISTECHNOLOGICAL FACTORS Technological advances in things like machinery will have an affect on the Adidas Group. The latest Technology can speed up production, nevertheless energy or cut down labour costs. Currently the world has become a small village and the use of the Internet is change magnitude day by day all around the world, soAdidas require to make sure that they keep up-to-date with the Internet all the time. It will help customers to buy online, and help it to advertise online and many other things.