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PEST ANALYSIS

POLITICAL AND LEGAL FORCES

Rapid changes in the political scenario of the country along with the uncertain policies of the Government have made the whole business community as uncertain. Also there is terrorism prevailing in the important cities of the country like Karachi and Afghan War, which are affecting the business activities. Policies about taxes are changing continuously due to changing government.
ECONOMIC FORCES

Increasing inflation in the country, persistently reducing the purchasing power of the people and dropping people from high price soap to low price soap and providing more fuel for expansion of local Producers.

Increased import duties on the finished goods and raw material have increased the price of the product, along with this, increasing inflation in the country have made it difficult for soap industry to transfer the whole increased cost at the consumer, thus forcing the industry to operate at a very low margin.

Sanctions imposed by the developed nations on Pakistan due to nuclear experimentation create the uncertainty in business activities.
SOCIAL

The greater the tendency towards urbanization in Pakistan, the living standard which is forcing the people to use standardized product and people are diverting from the beauty soap to anti bacterial soap.
TECHNOLOGICAL

No major and rapid breakthrough in the technology of soap and their manufacturing process, but innovations is required so that the product does not become obsolete.

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