Portfolio 6 month marketing plan Pull and bear | Page 12

2.2. MACRO-MARKETING ENVIRONMENT
2.2.1 PESTEL Analysis
POLITICAL- The brand is supported by the Spanish government.
Political factors influence Pull&Bear and the fashion apparel industry,
such as possible export regulations. Political stability within the
regions that Pull & Bear operates in is essential for its success. It is
exposed to minimal political risk because of its global position.
ECONOMICAL- Pull & Bear is mindful of economic growth, interest
rates, inflation and tariffs. The price strategy of Pull & Bear is to make
the product affordable for the customer. Sales of the brand
continue to increase. In 2016 Inditex’s net sales rose 12% than the
previous year. Whilst employment of staff in Spain rose to 48,589
people in 2016.
SOCIAL- Society in general is increasingly demanding, this is a value
the company shares and applies to supplier relationships. Social
projects have been created aimed at promoting education and a
better quality of life in regions in which the company operates in.
TECHNOLOGICAL- Pull & Bear is also growing on the Internet. The
brand sells its products online in 33 markets. The Pull & Bear website
hosts around 10 million visits every month. They have over 9 million
following the brand on social media. The brand also has profiles on
social networks such as Vimeo, Youtube and Pinterest.
ENVIROMENTAL- Pull&Bear have made efforts in terms of promoting
sustainable eco-efficiency. Focusing on development of society and
the environment with which it interacts through its business model.
LEGAL- In 2014, Inditex was part of a collaborative multi stakeholder
effort to urge the Cambodian government to increase the minimum
wage. The Government of Cambodia announced a new minimum
wage of $128 per month for 2015, an increase of 28%.