How to Use Pestel Analysis To See The Big Picture
Harvard professor Francis Aguilar created a paradigm for getting the big picture in his 1967 book, “Scanning the Business Environment” that endures to this day. Not being skilled in acronyms, he called it ETPS, which was subsequently rearranged to PEST for pronounceability and later augmented with a couple new components, bringing us to the modern iteration: PESTEL. Each letter represents an area of analysis to get a broad overview of macro-environmental factors that may impact a company. P for political, E for economic, S for social, T for technological, another E for environmental, and L for legal factors.