The analysis utilized to determine the position of business in the market is done by using PESTLE analysis, given up Display A. Sm Entertainment works under the rules and regulations directed by federal government and food authority. The company is more concentrated on its products and services to ensure about the product quality and safety. This analysis will help in understanding environment of external market in the global food and drink markets. (Parera, 2017).
Political.
The political impact on the business is greatly influenced by the public law and guidelines. The company needs to meet its requirements supplied by federal government otherwise it needs to pay fine. Sm Entertainment is greatly supported by Government to satisfy all the criteria of requirements like acts of health and wellness. In efforts to manufacture excellent food, Sm Entertainment is altering the standards of food and drink production. This may cause the infraction of governmental guidelines and regulations.
Economic.
Initiation of business where the capital income of each individual matters for the increased net sale as this differs country-to-country. The economy of the Sm Entertainment Business in U.S. is growing year by year with variable products launch especially focusing on the dietary food for infants.
Social.
The social environment keeps on changing with respect to time like the attitude of the consumer along with their lifestyles. Any product and services of any company can not achieve success until the business is not concerned about the living system of the customer. Sm Entertainment is taking steps to meet its objectives as the world is in search of healthy and yummy food.
Technological.
In the advancement of company, strategic steps are somewhat necessary. Sm Entertainment is one of the leading popular multinational company and by time it buys different departments to take its products to brand-new level. Sm Entertainment is investing more on its R&D to make its items healthier and nutritious offering customers with health benefits.
Legal.
There is no such effect of legal factors of Sm Entertainment as it is more worried over its laws and policies.
Environmental.
Sm Entertainment, in terms of ecological effect is committed to operate in eco-friendly environment with conservation of the natural deposits and energy. As due to the production of larger variety of items there may be a threat if the resources utilized are recyclable or not.
Exhibit A: PESTEL Analysis
