Work Placement Assignment Work Placement Assignment | Page 8

Political

- Taxation Prices: Increase/decrease:

this will affect how much tax PVH has to pay therefore will have an effect on their profits.

- Changes in regulation :

If the government introduce new laws, PVH will have to be prepared to quickly adapt.

- Political stability :

Affects the relationships with suppliers abroad, and the costs of materials.

Economic:

-Interest rates:

Affect how much disposable income a customer would have to spend

- Inflation:

Affect the prices of materials and products

-Employment levels:

Affects how much income a customer has

- Exchange rates:

Would have an influence on how much customers would be willing to spend.

PEST