Pest Analysis of Italy

PEST analysis of Italy 1) governmental Environment From the political point of view Italy is an ideal country where to merchandise our product. It has good international relationships, especially with other EU countries where we are already present and with the USA. There are no restrictions to the importation or the exporting of capitals and goods. The accounting system follows the International Accounting Standards (IAS), the same adopted by all EU countries, and quite similar to the Americans worldwide Accepted Accounting Principles (GAAP).There is a stable political regime with a multi-party system, which can ensure the certainty of law and the respect of contractual rights. tho lawsuits tend to be lasting and expensive, and this could represent a risk in case of a contractual breach. 2) scotch Environment The Italian Economic Environment is also quite good for our project. Italian economy is ground on services and industry. The per capita GDP is $30. 200, that is not high as in the United States ($44. 00), but which is however enough to ensure the population with the hap to save some of their budget for the acquisition of expensive products. In do-gooder income is better distributed than in the US looking at the Gini Index, Italy has a 36 and US have a 45 (where 0 means every bit distributed and 100 means unequally distributed). If we bear in mind the contrasting dimensions of the two countries all the other economic indicators can be considered similar. equitable the Unemployment rate is a little bit higher in Italy, 7% against 4. 0%, but it is not very relevant. 3) Cultural and Social really Italy has a population of 58. 147. 733 inhabitants. The 98. 4% of them are literates, and the 66. 4% of them are elderly between 15 and 64 years. It must be highlighted the fact that in Italy are present 72. 200. 000 nomadic environs Italians have a strong subtlety of always being locatable, and for this reason they in average hold 1,25 diligent phon es. 4) Technological Environment We are not interested in assemblage our product directly in Italy, but just n trade it from the countries where we have already established some plants. For such reason, from a technical point of view, we are mainly interested in the level of ecstasy and telecommunication infrastructures, rather than in the research intensity or in the university system. Italy actually has 19. 459 km of railways (16th in the world), 484. 688 km of roadways (11th in the world), and 133 airports distributed on the territory. The telephone system is modern and well developed, fax is widely used and mobile signal covers almost all the italian territory.