ted baker 1 | Page 13

PESTLE factors that could affect your idea: • • Political • • Economic • • • • Social • Georgia Toffolo is very passionate about politics and is not afraid to share her political opinions on social media, it could at times be seen as controversial. With an upcoming snap election, people are worried and unsure what will happen and therefore they are warier of spending their disposable income. If the Conservatives get voted in during the snap election they are going to raise taxes for the poor. If the Labour party get voted in during the snap election they are going to be raising taxes for big companies which will affect Ted Baker and may cause an increase in product pricing. This could also change the way Ted Baker customer shop, as it will be likely that they will face higher taxation as well. Brexit has caused changes to the economy and therefore are less likely to spend their disposable income on high priced clothing. Brexit also affects people’s spending habits because if things need to be sourced in England prices will rise. After Brexit business will have to pay for movement of products and people which will be another cost. As Georgia Toffolo is of a higher class she is not necessarily relatable for everyone and this could cause sales to drop. However, younger people are a lot more likely to spend their disposable income on clothing and I find her personality is relatable for young people. The way the population changes, for example with age distribution, affects the supply and demand of goods. Different generations spend their disposable income in different ways, so the company wants to be targeting a market which are likely to spend their disposable income on fashion items.