PEST Factor: Political
This article talks about how the new SEC (Securities and Exchange Commission in the US) rule involve forcing companies to disclose which politicians they support. If companies have to disclose this information, supporting a particular politician may affect their sales as people may not agree with who they’re supporting. This may in turn affect consumers’ views about certain products and companies in an unexpected way. As Adidas is a German company, this does not serve as a huge threat because this SEC rule typically applies for US companies such as Nike and Sketchers. In addition, this article also talks about how social media can have a huge impact in that the social media crowd (typically young people) are more environmentally aware and conscious. Adidas will then need to be mindful of these types of consumers behaviour. Note, what they blog about the company could also affect people’s views on Adidas.
Source: http://www.minyanville.com/business-news/politics-and-regulation/articles/Could-SEC-Political-Spending-Disclosure-Affect/1/28/2013/id/47517?refresh=1
This article talks about how the new SEC (Securities and Exchange Commission in the US) rule involve forcing companies to disclose which politicians they support. If companies have to disclose this information, supporting a particular politician may affect their sales as people may not agree with who they’re supporting. This may in turn affect consumers’ views about certain products and companies in an unexpected way. As Adidas is a German company, this does not serve as a huge threat because this SEC rule typically applies for US companies such as Nike and Sketchers. In addition, this article also talks about how social media can have a huge impact in that the social media crowd (typically young people) are more environmentally aware and conscious. Adidas will then need to be mindful of these types of consumers behaviour. Note, what they blog about the company could also affect people’s views on Adidas.
Source: http://www.minyanville.com/business-news/politics-and-regulation/articles/Could-SEC-Political-Spending-Disclosure-Affect/1/28/2013/id/47517?refresh=1