This article maximize your understanding of the Automotive industry with our detailed PESTEL Analysis of Jaguar, designed to reveal the key drivers of success and failure
Jaguar is known as the world class manufacturer of the custom made car bodies by using high quality machines and devices. Jaguar reflects the best in terms of the cost and design of automobile. The automobiles are provided with number of options to meet the customer needs. Following PESTLE Analysis describes the factors affecting the Jaguar business and how the company is addressing those issues.
Political Factors
Political stability being an important factor affects the companies’ business like Jaguar if they are planning to expand the car manufacturing factory. The increase or decrease in the tax level on car sale by the government will also drive the decision making of the company. The introduction of the fuel consumption tax or the environmental tax for making the vehicles more fuel efficient can affect the Jaguar car manufacturing level and the sales.
Economic Factors
The change in the government spending can also alter the Jaguar methods of payment for production or the development. The reduced investment of the government in the car industry or any less borrowing and lending can affect the development of Jaguar. The increased infrastructure development can provide more transport links resulting in higher production levels and easy distribution of the products by Jaguar. When the inflation rate rises, the company has to increase the prices for earning goo profit.
Social Factors
The society trends are ever changing and can affect any business. The companies like Jaguar have therefore to be well aware of the religious values and beliefs of the people living in a certain region. For example, Christian workers are not required to work on Sunday and the Muslim workers have relaxation to pray during the day at Jaguar. The company has to meet up the ethical procedures to ensure smooth trade between the supplier and the customers. Increase in population is another trend affecting the demand of the automobiles resulting in more production.
Technological Factors
Jaguar is known for using the cutting-edge innovation in its car design and manufacturing. Its expertise in the aluminum technology has moved the world by providing the light weight yet more efficient cars. The cars have been introduced with the e-performance models having an intelligent system to optimize the efficiency. Jaguar is still developing the prospective technologies for eliminating the driving errors and safe road journeys. The company has also established an Automotive Virtual Reality testing workshop which saves both time and resources.
Legal Factors
The companies have to fulfill the trade laws and the employee rights stated by the government to carry out successful business operation. Jaguar like many other companies has to get registered for its patents and copyrights to avoid the sale of fake products with similar names. The basic costing and prices are set by the car manufacturers as Jaguar to facilitate a fair competition. The company laws must be followed before starting up a new car manufacturing set up in any new region.
Environmental Factors
Jaguar gives an utmost importance to addressing the environmental issues as a motor industry manufacturer. It has implemented various legislations to ensure the minimum emission and wastage. The company is working hard to create a fuel efficient car design using the recyclable materials as aluminum. The new advanced diesel engines have given a major uplift in terms of the torque and power. Jaguar is also taking various environmental initiatives like investment in projects focusing on promoting the renewable energy resources.