Singapore

 Political - It is a democratic country. The people elect representatives to lead the nation. the stability has
translated to peace and a better standard of living. Moreover, it has transformed into improved business
opportunities for Singapore. However, there have been reports about restriction of free speech for
opposition parties in Singapore. It is said that the value of free speech for the parties is limited. The
defamation laws require opposition parties to be careful that political comments do not lead to costly
defamation suits or imprisonment.
 Economic - The economy of Singapore is a vibrant free-market economy. It is developing at a very fast pace.
The country’s per-capita income is the highest in ASEAN. A corruption-free environment supports the
business sector. It is among the most competitive countries. The educated and motivated workers
strengthen it. The legal and financial business framework helps as well. One of the main reasons behind the
success is its strategic geographic location. The government is an imperative and active player. It owns
substantial productive assets. Cheaper labour cost from neighbouring countries helps Singapore save a lot of
costs. Some constraints on Singapore’s economic performance are the following:
o Labour shortages
o Rising labour costs
o Declines in productivity
 Social - Socially, Singapore is like any other Eastern country. It still follows traditional family values. It is true
that the younger generation has the tendency to follow western culture and values. The residents work hard
and fulfil the materialism desire. This urge to do well has increased nation productivity. The business sectors
can, therefore, expect higher purchasing power from customers. Reports suggest that most Singaporeans
dislike blue collar jobs like construction. Literacy rate in the country is very high. Primary schooling is
compulsory in Singapore. Parents must ensure children’s regular attendance. Good command of English and
Chinese languages gives Singaporeans an advantage. It helps to attract international trade and foreign
investment.
 Technological - The internet plays a role in Singapore’s advancement. It eased communication and increases
connectivity. The cost and time of conducting business lowered. It also boosted the social networking. The
residents could easily connect to the rest of the world. The IT infrastructure in Singapore is praiseworthy.
The penetration rate for household broadband internet is over 70%. E-commerce and eB2Cmodels have
flourished in turn. More than 10Mbps of broadband internet service is available. The widespread IT
infrastructure has encouraged multinational companies to set up regional operations in Singapore. The
government is also moving towards an electronic government era.
 Legal - The government thinks that growth of electronic commerce depends on transparent and market
favourable legislations and regulations. Certain legal, regulatory, and business settings are needed to
support industry development and economic growth. E-commerce program was launched in 1996. The aim
was to develop the e-commerce services. Singapore has introduced some e-commerce policy initiatives.
There are cross-border e-commerce laws and policies. Some basic legal and technical infrastructures to
support secure e-commerce were available since 1998. Some of them are Electronic Transactions Act,
Intellectual Property Rights, Amendments to the Evidence Act, Content Regulation, Tax Issues and Import
and Export Procedures.
 Environmental - The Ministry of the Environment and Anti-Pollution Unit works relentlessly to maintain air
quality and other environmental factors. Pollution from the transportation is the key problem in Singapore’s
urban areas. There was a time when Singapore was among countries with the highest level of industrial
carbon dioxide emissions. Singapore lost almost 30% of its mangrove area. Many species are in danger of
extinction. One of the major concerns for Singaporeans is that the country does not have enough water to
support their needs.
 United Arab Emirates
 Political - Each of the 7 Emirates themselves have individual governmental organizations, allowing for
flexible management across the country. On the negative side, the United Arab Emirates occasionally has
political conflicts with nearby countries about the ownership of oil reserves or land. The UAE has healthy
trade relations with many countries across the globe. The UAE is considered a big power in the Middle East
and has considerable influences at global stage as well. It maintains very good diplomatic and trading
relations with the United States, Saudi Arabia, India, China, and many other countries in the region and
beyond. Though limited elections are held for federal advisory bodies, political parties are banned, and all
electoral candidates must run as independents. The civil liberties for both nationals and foreigners are
restricted as well (Freedom House, 2019). The ultimate power rests with the seven hereditary rulers.
 Economic - The UAE is a member of a number of international economic and political forums e.g. the UN,
World Bank, IMF, Arab League, OIC, OPEC, and GCC. It is the 27th largest economy in the world. Its GDP in
2018 was 414.18 billion US dollars (Trading Economics, 2019). The GDP growth rate averaged 4.34% from
2000 until 2018 with a big increase in 2006, and a big slump in 2009. Crude petroleum, refined petroleum,
gold, diamonds, and petroleum gas are the top exports of the UAE. Its top export destinations are India,
Japan, China, Oman, and Switzerland. Gold, jewellery, cars, diamonds, and refined petroleum are the top
imports which the country imports mostly from China, India, Germany, the United Kingdom, and Turkey.
 Social - The total population of the UAE is approximately 9.8 million as of October 2019 (World Meters,
2019). Emirati nationals only constitute 20% of the total population, making the country home to one of the
world’s highest percentage of immigrants. Most of the immigrants living and working in the UAE are from
India, Pakistan, Bangladesh, the UK, the USA, Iran, Canada, China, Philippines, South Africa, and Nepal. In
fact, according to some sources, over 200 nationalities live in the UAE making it one of the leading
cosmopolitan hubs in the world. The life expectancy for men is 76 years and 78 years for women in the Arab
Emirates. Arabic is the major language, while Islam is the major religion in the country (BBC, 2018). The UAE
is the 5th richest countries in the world with $74,410 GNI per capita (Harrington, 2018). Emiratis are very
social people, and families love to live together. They highly advocate and practice religious, tribal, and
traditional ties and values of cooperation and care. However, there are some social challenges facing the
United Arab Emirates today. For instance, wealth gap is a problem as according to Maceda (2018), the
richest 1% of the population own over half of the UAE’s wealth. Other social challenges to note are obesity,
drug abuse, high cost of living particularly in Dubai and Abu Dhabi, racial discrimination, and high rate of
divorce.
 Technological - The Emiratis are very keen on using social media. They, on average, spend 2.56 hours on
social media daily. Approximately 82% of the UAE’s population has profiles on Facebook while YouTube’s
penetration also stands at 82%. Other notable social media in use are Twitter, LinkedIn, Pinterest, Instagram,
and Tumblr. The UAE introduced the eDirham card in 2001 to facilitate payment for government and non-
government services. The government has invested heavily in space science, life science, nuclear science,
and ICT over the years. In fact, the UAE is currently the most attractive ICT market in the Middle East.
 Environmental - The UAE is one of the most visited countries in the world. Perfect balance between
traditional religious culture and modernity, luxurious hotels, stunning shopping malls, skyscrapers, crystal
clear beaches, historical ruins, indoor theme parks, and versatile cuisine are some of the factors that attract
millions of tourists every year. It is also worth noting that the UAE is particularly safe for solo female
travellers. However, the country has developed so rapidly in such a short time that it is now faced with some
environmental challenges. Constant noise of construction, invasive species, carbon footprints, limited water
sources, overfishing, waste generation, air pollution, land degradation, and desertification are having
immense impact on the environment.
 Legal - The UAE is a federal constitutional monarchy. Its Labour Law applies to all staff and employees
regardless of their nationalities. The maximum working hours for an adult employee is eight hours a day (48
hours a week). However, it can slightly vary depending on the types of business. As mentioned above, the
UAE is one of the safest countries in the world with low crime rates. It shows that rules and regulations are
applied very strictly in the country.
 Saudi Arabia
 Political - Saudi Arabia follows the unitary Islamic monarchy and hereditary dictatorship as its system of
government and administration. The Saudi constitution doesn’t allow the formation of any type of political
party. However, the King must follow Islamic Sharia law. Saudi Arabia has a stable political environment in
the country under the leadership of the monarch. It’s just absolute monarchy and totalitarian dictatorship,
where the King has all the power. Saudi Arabia has membership in the world’s leading organizations like
OPEC, Arab League, Organization of Islamic Cooperation, UN, Gulf Cooperation Council, and others.
 Economic - According to an estimate, the annual nominal GDP of Saudi Arabia in 2020 was 680 billion
dollars, and it’s the 19th highest in the world. Out of which, the per capita income of the country was 19,587
dollars, and it’s 39th world’s highest. The production of oil and gas is the main industry and source of income
of Saudi Arabia. It contributes 80% to the country’s total GDP. Saudi Arabia’s top imports are precious
metals, Gems, Medical apparatus, steel, iron, mineral fuel, pharmaceutical products, boats, ships, electrical
machinery, vehicles, and computers. She imports these products from India, Germany, UAE, the USA, and
China. Saudi’s main exports are steel, iron, precious metals, electrical equipment, dairy products, fertilizers,
aluminium, inorganic chemicals, organic chemical, plastic, and oil. She exports it to India, Singapore, UAE,
China, and others. The unemployment rate is very among females. However, the country’s corporate tax
rate falls within 15% to 20% depending upon the income level. It’s worth noting it here that the country
doesn’t have a personal income tax.
 Social - Saudi Arabia has the world’s highest young population comprising 34.2 million people.
Approximately more than 50% of the country’s total population is less than 25 years. However, the average
life of men and women is 73.5 and 76.5 years old. Saudi Arabia is a highly religious society. Women must
wear the Hijab covering everything under the neck except hands and feet. If the non-Muslim women don’t
follow the dressing, then the police would arrest them. Poor working conditions, lower wages, and limited
food provision to the workers from the 3rd world countries are common practices.
 Technological - Saudi Arabia has realized the significance of technology, and the country has been investing
a plethora of resources in innovation, developing entrepreneurship, and research and development.
However, the country plans to shift its economic dependence from oil and gas to the tech industry by the
end of 2030. The Badir Program for Technology Incubators is Saudi’s main entrepreneurial hub that provides
support to young startups. Other programs are Monisha’s, MEVP (Middle East Venture Partners), and UnitX.
 Legal - Saudi Arabia is an Islamic country and it follows the Islamic Sharia Law both for civil and criminal
cases. The king holds the final power over the rule of law whether to pardon someone or not. However, the
country has 3 types of courts: Courts of First Instance, Courts of Cassation, and Supreme Judicial Council.
Capital punishment and decapitation of body parts are the common punishment in the country.
 Environmental - the country is also facing environmental challenges like desertification, deforestation, and
overconsumption of natural resources like agriculture, air pollution, water pollution, and urbanization. vast
majority of tourists visit Saudi Arabia because of religious pilgrimage reasons. According to an estimate, 16.1
million used visit the country in 2017. The government now plans to increase tourism to 93 million people by
the end of 2023.
 Australia
 Political - Australia is a constitutional monarchy with Elizabeth II (the Queen of the United Kingdom and the
other Commonwealth realms) as the head of state. The Queen of Australia is represented by the Governor-
General at the federal level and by the Governors at the state level. The Prime Minister is the head of
government of Australia. Canberra is the capital of Australia and Sydney is the largest city in the country. The
total area of Australia is 7,741,220 square kilometres that makes it the 6th largest country in the world
(Plecher, 2019). The neighbouring countries are Papua New Guinea, Indonesia, East Timor, the Solomon
Islands, Vanuatu, and New Zealand. Australia is a member of the Commonwealth of Nations, OECD, G20 and
the World Trade Organisation. It maintains a very close association with the United States. It has a safe and
stable political environment.
 Economic - Australia is the 14th largest economy in the world. It was relatively less affected by global
lockdowns in 2020 and its GDP is expected to grow by 3.1% by 2022. Business investment, household
incomes, and inflation are also expected to pick up gradually. All companies in Australia are subject to a
federal tax rate of 30% on their taxable income. However, small businesses pay a reduced tax rate of 26%.
This rate is expected to go down to 25% soon (PwC, 2020). Individual tax rates vary depending on the income
of the individuals. Vehicles, machinery, mineral fuels including oil, refined petroleum, delivery trucks,
electrical machinery and equipment, pharmaceuticals, medical apparatus, precious metals, plastics, and
furniture are some of the key imports of Australia. On the other hand, iron ore, gold, coal, natural gas, beef,
wheat, financial services, educational services, and copper are some of its top exports. The major trading
partners are China, Japan, Germany, India, USA, Thailand, and South Korea (OEC, 2021).
 Social - Australia is one of the best countries to live in the world in terms of wealth, education, health and
quality of life. Compared to other major economies, Australia has a relatively small population of around 26
million (Worldometer, 2021)). The life expectancy for men is 80 years while 84 years for women. However,
having more retirees and fewer people of working age is an area of concern for the country. Australia is one
of the most multicultural and multiracial countries in the world. Australia has a good number of public and
private universities which attract a lot of international students every year. Australians are generally lively,
hardworking, and outward looking. They spend a lot of their spare time in playing or watching sports.
 Technological - Australia is one of the most technologically advanced countries in the world. It is well-known
for adopting new technologies at a faster rate than many other developed countries. The country has
witnessed an enormous growth in technology over the years. Local companies are investing in technologies
to meet the growing demands of their customers. Computers & equipment, software, tech consultancy
services, cloud, and artificial intelligence are likely to drive these investments which should result in more
innovation and designs. However, many analysts are of the view that Australia has a long way to go if it
would like to challenge tech hubs in Asia, Europe, the Middle East, and the US.
 Environmental - Australia is one of the most beautiful countries in the world with stunning beaches,
mountains, and forests. It is also widely known for its brilliant biodiversity. Australia is the driest inhabited
continent on earth. Likewise, climate change is also a great challenge. Water insecurity, the spread of
infectious diseases, and regional conflicts over food, water and land are some of the potential outcomes of
climate change.
 Legal - The last element to address in the PESTEL analysis of Australia is the legal landscape of the country. In
order to ensure fair trading for both businesses and consumers, Australia has fair trading laws, competition
laws, and consumer laws. The Fair Work Act 2009 is the primary piece of legislation that governs
employment in the country. Likewise, privacy laws deal with how businesses handle the personal
information of their customers.
 India
 Political - India is the largest democracy in the world and enjoys a relatively stable political environment.
However, its dispute with Pakistan over Kashmir has been an issue of grave political uncertainty. Democratic
will of the people reflected in the local and national elections is mostly respected and accepted by the
political parties and people in general. This political culture of tolerance contributes immensely to maintain a
stable political climate which is in fact a very important factor to attract foreign direct investment (FDI). A
major area of concern in India is corruption. It badly affects the country’s business and political environment,
posing a challenge to the country’s economic growth. It increases the cost of business operations and often
affects foreign direct investment. However, a growing public awareness and government initiatives are
combating the challenges of corruption.
 Economic - India is one of largest economies in the world in terms of nominal GDP. Its GDP in 2019 was
worth around $2.59 trillion (O’Neill, 2021). The corporate tax rate in India is 25.17%; however, it is forecast
to increase soon. It is worth noting that the country witnessed frequent corporate tax rate changes over the
years. India’s key exports are petroleum products, jewellery, pharmaceutical products, transport equipment,
machinery, and readymade garments to name but a few. On the other hand, India imports crude petroleum,
gold, and silver, electronic good, pearls and precious stones and many other things. Some of the top trading
partners of India are China, UAE, Switzerland, Saudi Arabia, USA, and Qatar.
 Social - India has a gigantic consumer market with a total population of over 1.3 billion (Worldometer, 2021).
Such a huge market is a great opportunity for multinational companies. India is a multi-ethnic, multi-lingual,
and multi-religious country. Communal harmony is a great strength; however, the country sometimes
witnesses tensions in ethnic lines. India has a world-renowned film industry. India is one of the most
attractive markets in the world in many sectors. Standard of living is gradually improving, and the country
has a growing middle class with good disposable income.
 Technological - India is one of the most technologically advanced countries in the world. In fact, according to
some sources, it is the 3rd most technologically advanced country in the world. India is a key destination for
outsourcing work in IT. With an advanced IT infrastructure and highly skilled IT work force, India offer
enormous opportunities for entrepreneurs to embark upon technological projects such as software
development and upgrades, e-commerce, mobile apps, business solutions, and many more.
 Environmental - While India has made a lot of progress over the years, it still faces a number of
environmental challenges e.g., air pollution, water pollution, floods, resource depletion such as water and
forest, loss of biodiversity, and diversion of consumer waste into rivers. Expatriates may sometimes find it
difficult to live under some of these environmental challenges. However, it is worth mentioning that India
has some of the greatest tourist attractions on earth that attract millions of tourists each year. Likewise,
affordable, delicious food, incredible wildlife, and wonderful rail journeys are some other factors that many
tourists consider selecting India as their holiday destination.
 Legal - Depending on the scope and the business needs, foreign investors can set up a company, branch, or a
limited liability partnership in the country. Indian companies are governed by the Companies Act, 2013.
There are a number of labour laws that regulate employment relations in India e.g. Employees’ State
Insurance Act 1948 (ESI Act), Industrial Disputes Act 1947 (ID Act), Maternity Benefit Act 1961 (MBA) and the
Payment of Bonus Act 1965 (PBA).
 China
 Political - The Communist Party of China is the founding and ruling political party of the People’s Republic of
China. Although China enjoys a stable political environment, the lack of political freedom is an area of major
concern. China is permanent member of the UN security council. It is also a member of the WTO, APEC,
BRICKS, BCIM, ASEAN Plus, and G20. It maintains good diplomatic relations with many great powers in the
world trade and politics. However, its relationships with the United States have been very challenging for a
long time.
 Economic - The standard corporate income tax rate is 25%; however, the Chinese government reduces the
rate to 15% for qualified businesses which operate in industries encouraged by the government. The
individual income tax rates range from 3% to 45%. China is a manufacturing giant. It became the largest
exporting nation in the world in 2009. It has made a global name for its manufacturing power and become a
specialist location to produce automatic data processing machines and components, clothes, clothing
accessories, mobile phones, textiles, integrated circuits, and many other products. Its foreign direct
investment has reached many countries over the years. The United States, the UK, Australia, Pakistan,
Bangladesh, Indonesia, the United Arab Emirates, Venezuela, Argentina, Angola, Chad and Niger are some of
the countries where Chinese investment has been stunning.
 Social - China is the most populous country in the world with a total population of over 1.4 billion (World
Meters, 2021). This is a massive market for consumer products. As mentioned above, average wage level has
gone up over the years resulting in an increase in consumer spending. the citizens of other emerging
economies, long for status symbols such as luxury cars, latest smart phones and designer clothing to
demonstrate their success. Though China has made very good progress in eradicating extreme poverty, there
are some social challenges facing it today. For example, ageing population is an area of concern.
 Technological - China has the world’s largest online population with over 854 million users. There are some
big tech giants in the country e.g. Baidu, Alibaba and Tencent. These companies and some others are so
powerful that many big companies from other countries have failed in China. China has set a vision to be a
global leader in science and technology.
 Environmental - China’s rapid economic development has impacted on its natural environment severely.
Water and air pollution, industrial waste, deforestation, climate change, and biodiversity loss are some of
the examples of environmental challenges facing it today. However, it is worth mentioning that the Chinese
government has taken a number of initiatives to address the environmental concerns. Examples of initiatives
include but not limited to decentralization of responsibility to local levels and encouraging public
participation in environmental protection.
 Legal - labour standards, employee remuneration and benefits, labour disputes, and other relevant issues
are regulated by The PRC Labour Law 1995, the PRC Labour Contract Law 2007, and various administrative
regulations (Chen, 2020). The Catalogue of Industries for Guiding Foreign Investment regulates FDI in the
country. The Catalogue divides FDI into four categories i.e. encouraged, restricted, prohibited, and
permitted. Encouraged category includes 384 industries. Agricultural machinery manufacture, and fruit and
vegetable drink production are some of the industries in this category. Restricted category includes 35
industries. Construction and operation of power grids, banks, and securities companies are some of the
industries in this category. Prohibited category includes 28 industries. Air traffic control, postal companies,
and domestic express delivery of letters are some of the industries in this category. Permitted category
includes industries that do not fall into any of the above-mentioned categories.
 Malaysia
 Political - Malaysia is a federal constitutional monarchy that comprises of 13 states and 3 federal territories.
The elected monarch is the head of state while the Prime Minister is the head of government. The monarch
is elected by the sultans of the nine Malay kingdoms, and this position is rotated every five years (BBC,
2020). Malaysia is a founding member of the ASEAN and the Organisation of Islamic Cooperation (OIC). It is
also a member of the UN and the Commonwealth of Nations. Malaysia is a politically stable country. It
pursues the principles of peace and neutrality in developing and implementing its foreign policies. However,
it has maritime and other disputes with some regional nations. It maintains close relations with superpower
China though it’s disputes with the latter over South China Sea have drawn a lot of attention. Corruption is a
major problem in Malaysia. According to Gabriel (2019), Malaysians accessing basic services such as schools,
hospitals, and even courts are allegedly required to pay a ‘sweetener’.
 Economic - Malaysia’s GDP in 2019 was $364,684 million. The GDP per capita of the country in the same year
was $11,193, which was higher than that in 2017. Malaysia has a healthy, robust, and industrialised
economy. It is diversified and very robust with focus on industrialised, and knowledge-based industries. The
economy has benefitted from the adoption of cutting-edge technology. Malaysia is well on its way to
achieving high-income status. However, to achieve the status finally, it must improve further on the level of
labour productivity and the living standards of its citizens. Integrated circuits, refined petroleum, office
machine parts, petroleum gas, and palm oil are the major exports of Malaysia which mostly end up in
countries such as China, Singapore, the USA, Japan, and Hong Kong. The primary imports of the Malaysia are
integrated circuits, refined petroleum, crude petroleum, broadcasting equipment, and office machine parts
which mostly come from countries such as China, Singapore, the USA, and Japan (OEC, 2021). Malaysia
receives a lot of FDI every year, and the main investing countries are Singapore, Hong Kong, Japan, and the
Netherlands.
 Social - Malaysia is a multi-ethnic and multi-religious country. The major religion in the country is Islam.
Other religions practised in the country are Buddhism, Taoism, Hinduism, Christianity, and Sikhism. Though
divisions exist, communal harmony is a great feature of the country. The major languages are Malay
(official), English, Chinese dialects, Tamil, Telugu, and Malayalam (BBC, 2020). The current population of the
country is 32.6 million (Worldometer, 2021). Malaysia is ethnically diverse and has a rich cultural life. People
lead a much more affluent lifestyle compared to their counterparts in many upper-middle income countries.
The major factors contributing to this affluent lifestyle are low national income tax, almost free health care
system, social welfare system, and a low cost of local food, fuel, and household products. However, alcohol
abuse among teenagers is an issue of grave concern. Likewise, the government’s tight grip on media is also a
concern.
 Technological - Malaysia is one of most digitally connected societies in the world. Approximately, 91% of its
residents used the Internet in 2019 and the rate is expected to reach around 97% by the end of 2025 (Wolff,
2020). Malaysia has been a great place for international tech companies due to its strategic location, tech
savvy work force, and IT infrastructure. Many companies such as IBM, HP, Intel, Google, Amazon, and Cisco
are well established in the country. The leading social media in use in the country are Facebook, Twitter,
Pinterest, Instagram, and YouTube. It is worth noting that Malaysia aims to become the preferred
destination for high-tech investment by 2025.
 Environmental - Malaysia is a beautiful holiday destination. Dynamic cities, delicious food, stunning beaches,
weather, and friendly people are some of the factors that attract tourists to the country. No wonder why
approximately 26.1 million tourists arrived in the country in 2019 (Hirschmann, 2020). However, it is worth
noting that deforestation, climate related natural disasters, air pollution, excessive waste production and
river pollution, and escalating carbon dioxide emissions are some of the environmental challenges facing
Malaysia today.
 Legal - The last element to address in the PESTEL analysis of Malaysia is the legal landscape of the country.
However, it is worth noting that due to the limited scope of the article, the discussion here is somewhat
limited. Malaysia is mostly a common law country, with a separate Islamic law (mostly civil laws) system. The
Employment Act (1955) is the main legislation on labour matters in the country.

UK
 Political - It is a modern parliamentary democracy and a constitutional monarchy with the monarch
(Currently Queen Elizabeth II) being the Head of State. The role of the monarch in the legislative process is
largely ceremonial (BBC, 2020). Political stability is a great strength of the country; however, Brexit (UK’s
withdrawal from the EU) has created uncertainties and political debates. Some analysts believe that Brexit
will create a chaos unimaginable, whereas others believe it will open doors to immense opportunities for the
country in the future. The UK maintains very good relations with the United States, and many other
countries in the world. It is a permanent member of the UN, and is a great power, with considerable
influence on global economic, cultural, military, scientific and political affairs. However, its relations with
some authoritarian regimes have drawn a lot of criticism.
 Economic - The UK is the 6th largest economy in the world by nominal GDP. The global lockdowns in 2020
and 2021 put enormous pressure on the treasury and destroyed many businesses across different industries.
Therefore, the Bank of England pumped an extra £100 billion into the economy in 2020. Inman (2021)
reports that the economy has started bouncing back stronger than expected as evidenced from increases in
household savings. Cars, gas tribune, gold, and crude petroleum are some of the top exports of the UK that
mostly go to countries such as the USA, Germany, China, the Netherlands, and France. Its top imports are
cars, gold, refined petroleum, broadcasting equipment (OEC, 2021). It attracts millions of tourists every year.
The financial services sector also plays a big role in the UK economy. According to the House of Commons
Library (2021), it contributed £132 billion to the economy in 2019 with London leading the sector from the
top.
 Social - The current population is over 68 million (Worldometer, 2021). Births continue to outnumber deaths
and the population is expected to reach 74 million by 2039. The population is getting older as well. This has
implications on both the labour market and the health care system. However, there are a lot of
opportunities for organisations to cater for the needs of older population. Real estate, holiday, insurance,
health care and many other companies have already benefitted from this category of population. The UK is
one of the top 10 countries perceived to have the most educated population in the world. It is also No. 3 in
the rank of overall Best Countries. However, it is worth mentioning that the costs of living and higher
education are on the rise.
 Technological - The UK is one of the most technologically advanced countries in the world. London is the
great hub for both financial and technological institutions. Businesses are frequently developing new
technologies to offer the best solutions for their customers. The advanced technological infrastructure offers
entrepreneurs unlimited opportunities to do business in the UK. Technology sector is a major contributor to
the UK economy. A lot of investment and talents are coming into the sector. It is worth noting that the
investment and development are spreading across the country. However, the UK is falling behind the USA,
South Korea, India, Japan and some other countries in technological development.
 Environmental - Economic activities impact on the environment; however, the UK has made significant
improvements in reducing the negative impact. The government, local councils, newspapers, charities and
many others have taken a variety of initiatives to create environmental awareness and reduce the negative
impact of economic growth on the environment. The UK sometimes faces challenging weather conditions.
However, weather still plays an important role in tourism. Millions of tourists from around the world come
to the UK, particularly during summer. In fact, tourism contributes to the economy significantly every year.
 Legal - The Employment Act 1996 protects rights of employees. Maternity and paternity leave, minimum
wage, holiday pay, sick pay, and some other rights are legally protected. Likewise, the Equality Act 2010
protects people from any discrimination.
 USA
 Political - The president is the head of the country and is elected for a four-year term. Elections held in the
USA are usually considered fair and transparent. The country enjoys a stable political climate, even though
there have been some challenges recently. It also has an enormous influence over the political dynamics of
many countries around the world. However, the USA faces international criticism for some of its
interventionist policies in some parts of the world. The USA advocates and promotes democracy around the
world. With a stable political environment, advanced infrastructure, and technology, the USA positions itself
as a great destination for foreign direct investment.
 Economic - The USA is the largest economy in the world in terms of nominal GDP. It is a country from where
companies such as Coca Cola, McDonald’s, Subway, Microsoft, Apple, Facebook, Google, and many others
are shaping and leading the socio-economic discussions of the world. Some of the top exports of the USA are
refined petroleum, crude petroleum, cars, integrated circuits, and vehicle parts that largely go to countries
such as Canada Mexico, China, Japan, and Germany. Its top imports are computers, crude petroleum,
broadcasting equipment, and packaged medicaments that mostly come from countries such as China,
Mexico, Canada, Japan, and Germany.
 Social - The USA is the third most populous country in the world with a total population of approximately
332 million. The USA is a very diverse country. By 2020 almost 1 in 3 Americans were expected to have
African, Asian, Latino, or Native American ancestry. The education system is one of the best in the world; so
is the health care system. People are generally health conscious; however, fast food culture has contributed
to obesity and other illnesses in the country. A majority of the population has a liberal mindset; however, the
country witnessed racial tensions recently which reminded many of the troubled times the country went
through by the end of the Second World War.
 Technological - The USA is the global leader in science and technology. Americans have a longstanding
fascination for technology, and companies such as Apple, Microsoft, Google, Facebook, and many others
have addressed the technological needs of the Americans and the people around the world. And in doing so,
they have become the global leaders in their respective field. The rate of technological innovation and
change is extremely rapid in the USA. However, the country faces strong challenges from a number of
countries e.g. China, South Korea, and India.
 Environmental - The USA has an extremely diverse geography, climate, and wildlife. This diversity coupled
with other factors such as breath-taking natural attractions, charming little towns, and vibrant cities has
been a driving force to draw millions of tourists to the country. 79.26 million international visitors came to
the U.S. in 2019 (Lock, 2021). Canada, Mexico, United Kingdom, Japan, Brazil, & China are the top six
countries sending tourists to the USA. However, the USA faces some of the toughest weather conditions in
the world. The country has sustained over 220 weather and climate disasters since 1980. In 2017 alone,
there were 15 weather and climate disasters with losses exceeding $1 billion each. Apart from financial
damages, these disasters also cause disruption to everyday life in the most technologically developed
country in the world.
 Legal - Detailed discussion on the legal environment of the USA is beyond the scope of this article. However,
the article addresses some of the key areas in brief. Each state in the USA has its own government structure
and legal scheme. Businesses come under the regulatory environment of the state in which they operate.
The country upholds equal treatment of nationals and foreigners. Expatriate employees can expect an
unbiased trial from the judicial system. The USA also offers a strong legal system to protect Intellectual
Property Rights.