PESTEL analysis of Pakistan would cover political, economic, social, technological, environmental, and legal factors that could affect the country’s growth and development.
Pakistan is a developing country, which has population of about 180 million and majority of population is living in rural areas. Most of rural population rear livestock and they live on agriculture products. It has democratic system and government is elected by the people. It is basically agricultural country and it grows most of the crops as it has fertile land and it also houses the majority of minerals, which are found in KPK and Baluchistan (Syed Behroz Ali Rizvi, 2013).
Political Factors
The political system of Pakistan is not strong enough due to corruption as government does not make effective legislation to nip the evil of corruption. The government is involved in serious cases of money laundering and corruption, commission and other serious allegations. The law and order situation in the country is not exemplary and there is consistent danger of terrorist attacks. The public is not pleased with their policies as they think differently from the masses and their priority list is not up to the expectations of the people. The government is imposing taxes of all commodities even the eatable products, which has grown concerns among the people.
The economic situation is worse and government shows its interests in taking loans from international monetary organizations and returns this loan with interest, which cause heavy burden over the economy of the country and it affects badly the life of common people. The executive of the government do not interested in investing their money in Pakistan and they are inviting the foreign investors to come and invest their amount in different projects to give strength to economy of Pakistan, which is very weak and selfish approach of present government (UKessays, 2009).
Economical factors
Due to poor economic policy of the government, the net loss of the country is still increasing and the government is taking interest in getting more loans. There are stories of corruption in the government and private sector and the people on the top of the government do not pay taxes, which has increased the diverse condition of the government economic policies. The prices of the oil and gas are increasing and prices of the things are also increasing drastically and become out of reach of the common people. Even a vegetable and fruit vender is challenging the writ of the government.
The terrorist activities have also shaken the economic situation and government has to pay more attention over the restoration of the people. Government is not taking interest in the problems of common people like load shedding, weak industrial policy and lack of education or expensive education system (UKessays, 2009).
The government has no control over the prices of milk and its products. The government can control the supply of milk and should adopt such policy to pasteurize it and pack it in the packing material and provide in the market at the fixed rate (Syed Behroz Ali Rizvi, 2013).
Social Factors
In the developing countries like Pakistan, Health and Education are two major issues, which need deep and special attention of the government. The government should make the legislation for the provision of quality education at the highly subsidized rate of fee and they should declare education till the 10th class and compulsory for every child of the country. It is also the prime responsibility of the government to provide health care facilities to each individual of the country. They should declare health free of every citizen of Pakistan and provide costly medicine for the treatment of deadly diseases, whose treatment is out of reach of the common people (UKessays, 2009).
Unfortunately, the government is focusing on other issues, which are less important but they can help them to become successful in the next elections. The network of roads is necessary for quick traveling and also enhances the economic activities but it is not as important as health and education or removing of power shortage.
Technological Factors
Pakistan is the big user of mobile phone and IT technology and numerous mobile phone companies are providing their latest mobile phones, tablets and IT products in the market. They are developing their business by importing of new and fresh models of the smart phone. Pakistan is giving attention on industries and new technology is being introduced for the manufacturing of fabrics, garments, crockery and sports goods.
The sport industry is mainly working in Sialkot and it is importing its most of the products to the European, America, Middle East countries and earns huge profit. Faisalabad is well known for manufacturing of textile and it is called Manchester of Pakistan. The leather products are also made in Sialkot and it has the international reputation.
Environmental Factors
There are serious issues of environment and they are becoming more dangerous especially in the industrial areas. The industries are not complied with the environment laws and the environmental policies of the government are not effective. The removal of solid waste is not strictly adhered and government has shown less attention over such issues and they do not have focus over powerful corporation system for the removal of dust and garbage from the center of the cities and they cause smell and spread of various diseases.
Legal Factors
The legal position of the country is also weak as there is no focus on the legal position and making new laws and regulations to keep the country on the right track. The growing concern over the corruption and law and order situation is not good and no effective laws are made to grip these evils with strong hand. It is the basic task of the parliament to make new laws and regulations to remove the evils from the society but parliament does not show any interest in making new laws or overcome the crimes.
The law and order situations of the big cities like Karachi is not exemplary as different nature of crime are the daily routine matter and government does not pay attention over these issues, which has devastated the economy of the city. The law and order situation in Punjab is also not good and it needs immediate attention to curb the criminals from the rural areas of South Punjab.
References:
UKessays (2009), Pest Analysis of Pakistan, available at https://www.ukessays.com/essays/economics/pest-analysis-of-pakistan-economics-essay.php
Syed Behroz Ali Rizvi (2013), Pest Analysis of Pakistan, available at http://www.slideshare.net/SyedBehrozAliRizvi/pest-analysis-of-pakistan