Economic Change

• How do economic factors affect a company?

  They influence purchasing power and demand
• How does inflation impact economic factors in PESTEL analysis?

  It affects consumer purchasing power and demand
• What is the impact of interest rates on economic factors?

  They influence borrowing costs and consumer spending
• What is the significance of understanding economic indicators in PESTEL analysis?

  They help predict market trends and consumer behavior
• What should a company do if they identify a significant economic risk in a market?

  Reassess their market entry strategy