It Is Important for Marketers to Use All Components of PESTEL

question 9

Essay

It is important for marketers to use all components of PESTEL when comparing markets in other countries. Take electric cars as an example, and explain what the marketer could learn in each of the six areas.

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Definitions:

Tax Rate

The tax rate is the percentage at which an individual or corporation is taxed, which can vary depending on income level, type of income, or jurisdiction.

Present Value

The contemporary valuation of a future sum of money or sequence of cash inflows, considering a certain rate of return.

Cost of Capital

The required return necessary to make a capital budgeting project, such as building a new factory, worthwhile.

Net Investment

The total amount spent on purchasing new capital assets minus depreciation on existing assets, indicating the actual increase in a company's capital stock.