Pestel Analyse

H&M Pestel

Political*Being a Swedish based company means H&M have to follow Swedish legislation. * Like many other brand stores, H&M’s stock is produced overseas. This is because of minimum wage laws which prevent workers in the UK working for below anything else. Employing workers in less developed countries mean H&M can maximise their profits. *Price of cotton has increased rapidly as supplies are becoming limited. H&M promote basic cotton ranges therefore they use mass amounts of cotton. If cotton prices do not start to fall, H&M will have to increase their prices to maximise profits, which will draw away possible consumers that shop there to take advantage of their inexpensive clothing. | Economical

*H&M are known for being an inexpensive clothing store that specialises in fast fashion and high quality clothes for low prices. Today’s economical market means that less people have disposable incomes, this is an advantage for H&M and they have marketed strategically to achieve maximum benefit from this. *Their stores are convenient as they stock clothes for all ranges of consumer; women, men, teens, children, babies. Because many parents work in today’s economical market this makes it easier for parents to shop for families together minimising time and exertion. *Promotional sales and student discounts are both offered in store. This promotes sales to the segment of consumers that have less disposable income. |

Social*Generally, all of H&M’s stores are of large size. This means more jobs are available in store. During the recession, unemployment dropped to an astonishingly low percentage. *H&M’s website is accessible in over 30 countries. The internet is a huge part in todays society and because many consumers have full time jobs, online shopping is a strong advantage.*H&M supports UNISEF in Uzbekistan. This charity helps raise awareness to stop child labour in cotton factories. Media attention means that many high street stores are...

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