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PESTEL analysis Courier and Delivery market UK - Essay Example

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PESTEL analysis Courier and Delivery market UK

The economic factors in the United Kingdom courier industry constitute a substantial reason for the general outlook to same (MSI 2000). To expound on this, the courier industry in the United Kingdom operates in different places around the globe. There are many companies from the United Kingdom which command global influence (Campbell 2001). This has necessitated the companies to look for choices that facilitate smooth interactions between their choices (Monaghan 1998). The courier industries in the United Kingdom have an unusually high demand, and this had caused the economic landscape of the United Kingdom courier industry to keep changing. This has caused the airline industry in the United Kingdom to have an economic boom. In the delivery of documents and packages, speed is vital (Crew & Kleindorfer 1999).
The environmental factors in the United Kingdom courier industry cover the governmental legislation and regulation. This is because the policies of the government in United Kingdom have created a favourable business environment for the rise of the industry or vice versa. Some government believes in subsidizing local industries with an aim of increasing their effectiveness and global influence (Luff 2009). When the government policies and legislation proposes heavy taxation of local courier industry in the United Kingdom, then the business environment of the industry is altered, and the companies begin to strain (Campbell 2001). According to Campbell, the environmental factors include the population gross domestic product, GDP. This affects the competitiveness of the industry. When ordinary citizens have a string purchasing power, then they are likely to hire the services of the courier industry in the United Kingdom which raises their turnover (Luff 2009). The competition of the courier industry in the United Kingdom is exceptionally high (MSI 2000). The recent spread of recession of the economy that was spread from the United States of America affected the courier industry in the United Kingdom (Monaghan 1998). This indicates that the health of ht economy is extremely crucial for the growth of the industry in the United Kingdom (Crew & Kleindorfer 1999). The rise of oil prices caused many airline industries t cut down the size of their fleet, which affected many courier industries in the United Kingdom. In extreme cases, this led to the closure of some courier companies which could not meet the demands of the industry. Therefore, the company could not be operational (Monaghan 1998). Many others were forced to downsize their workforce, and this affected their capability. This has forced managers to take appropriate actions to make sure their industries maintain a competitive edge over their competitors. Many courier industries in the United Kingdom operate in over 200 countries around the globe. Each country has a different business atmosphere with because of the territorial difference in terms of regulations and rules. Each and every country has different barriers when it comes to new entrants (MSI 2000). For instance, china has extraordinarily high barriers to new entrants compared to countries like Kuwait and Sri-lanka which have low barriers. When it comes to foreign direct investments, many countries have different ...Show more

Summary

The courier and delivery industry in the United Kingdom is involved in providing surface, air or combined courier delivery services. They provide express messenger, delivery, packing and sorting services. Some of their products include mail, domestic and international courier services…
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PESTEL analysis Courier and Delivery market UK essay example
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