You are required to submit a PEST-E analysis of 2 countries then compare and contrast your findings

You are required to submit a PEST-E analysis of 2 countries then compare and contrast your findings. Pick any 2 countries but make sure they are in different continents. For example do not pick 2 Asian or 2 European or 2 North American countries.

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PEST Analysis for Kenya

Kenya is a nation in Africa, with Nairobi as its largest capital city (Nandonde, 55). The country is a hub for vast cultural practices and businesses. Some of the significant challenges that the country faces today include public debt rising unemployment, poverty, economic inequality, declined consumer expenditures, austerity, and declined public investments. As such, there is a need to have both public and private initiatives that are crucial in tackling the challenges.

Political Factors that Influence Kenya

Legal and constitutional frameworks are part of the political factors that impact Kenya. The factors majorly affect areas such as safety assets, functioning of judicial systems, and natural resources security. Kenya is led by the President, the head of the government, and the state. There is a good international relationship between the country and other states, such as the United States, whereby the country receives vast foreign assistance yearly. Collaboration between the nations makes it possible for Kenya to utilize economic diplomacy to strengthen its economic ties with several global partners. However, Kenya is mostly affected by corruption scandals resulting from poor governance, political instability, and increased crime rates.

Economic Factors that Affect Kenya

According to the 2022 trading economics, the gross domestic product of Kenya is expected to hit around $110 billion in 2023, an increase from that experienced in 2021. The economic state is more likely to influence the investment strategies of the country in varying ways. The East African country exports ranging goods such as refined petroleum, gold, tea, and coffee. On the other hand, imported goods include cars, palm oil, refined grease, and several broadcasting types of equipment from countries like India, China, and Saudi Arabia.

Social Factors which Affect Kenya

Kenya has various language groups, such as the Afro-Asiatic, Bantus, and Nilo Saharan. The country is currently experiencing rapid modernization and consumer behaviors which constitute a significant reflection of the desire by people to embrace the global brand. Social factors which impact the country include corruption, increased crime rates, labor exploitation, and food insecurity. As such, there is a need for the government to invent various pubic initiatives in addition to encouraging private initiatives to deal with the challenges.

Technological Challenges that Kenya Encounters

Kenya is known for being the best innovation hub in Africa. The number of social media users in the country is rapidly growing, with mobile applications becoming popular. Technological factors which influence the investment climate in Kenya include the state of the country’s digital infrastructure, electricity availability, and both the internet and digital literacy in Kenya. Poor mobile phones and internet connectivity may limit firms’ opportunities to grow and create vast employment opportunities for the youth.

Environmental Factors that Affect Kenya

The country’s natural beauty, national parks, reserves, mountains, and beaches mesmerize domestic and international tourists. However, the nation faces numerous environmental challenges, such as droughts which have resulted in increased livestock deaths, land degradation, and water shortage. Additionally, biodiversity loss, industrial pollution, and deforestation are other environmental challenges the country faces.

Legal Factors

Kenya has labor laws that protect both employers and employees from exploitation. However, in particular circumstances, employers have the right to terminate any employment contracts on the grounds of either poor performance or misconduct. An example of such laws is depicted when Kenya banned smoking in public places and even set up designated areas for such. There was also a ban on the use of plastic bags in response to various environmental challenges that had affected the country.

PEST Analysis for France

France is a country in the European region that is known for its exquisite wines and fashion. Individuals overseas wish to live in the country due to its impressive economy, inventions, and structures.

Political and Legal Factors which Affect France

France has had a system of problematic politics. The French people prioritize accepting both economic and political reforms though they find it difficult to get over their glorious past (Goldstone, 1700). As such, the country has focused more on coming up with action plans, such as the road safety plan, which aims to protect its citizens from attacks. The road safety action plan constitutes twenty-six new laws that aim to keep both the driver and the pedestrian safe.

Economic Factors that Affect France

During the world war recession period, it was expected that France would be bankrupt like all the other European countries. The French economy did not suffer much due to numerous economic interventions though the country was still affected by deficits that came about during Raymond’s rule (Goldstone, 1700). The business community suffers more than any other community due to its heavy taxes. The heavy taxation makes it tedious to employ laborers in their home country; thus, many businesses are usually forced to hire outside as a way to maintain competition semblance against foreign businesses. France maintains strong markets in manufacturing machinery, electronic industries, and also machinery.

Social Factors that Affect France

Increased crime rates and protests are some of the social factors which impact the stability of France (Goldstone, 1600). The country’s economic situation impacts social class; thus, the disparity between the classes results in increased crime rates. Employees in the country are always on strike for one reason or another, thus leading to a reduction in both the productivity and income of the affected persons.

Technological and Environmental Factors that Affect France

France majorly relies on the internet, particularly the high seed connection referred to as the ADSL. As such, internet connectivity may be a challenge, thus limiting the opportunities for firms to not only grow but also create vast employment opportunities for the youths. Environmentally, the country is more likely to suffer from water pollution due to water contamination which results from acid rain. Acid rain does not only impact the quality of water but also destroys forests. Unfortunately, the nation is among those with immense industrial carbon dioxide emissions, an idea that the country has to focus on with the aim of reducing pollution instances.


Both Kenya and France are experiencing numerous political, economic, environmental, and social challenges. For Kenya, some challenges include rising public debt, unemployment, poverty, economic inequality, declining consumer expenditures, austerity, and declining public investments. On the other hand, France experiences more of both air and water pollution due to immense carbon dioxide emissions from industries in the country. The country is more likely to suffer from water pollution due to water contamination which results from acid rain. Acid rain does not only impact the quality of water but also destroys forests. The effects call for the need to come up with measures aimed at combating pollution, such as the enation of private and public initiatives.



.Nandonde, Felix Adamu. “A PESTLE analysis of international retailing in the East African Community.” Global Business and Organizational Excellence 38.4 (2019): 54-61.

Goldstone, Jack A. Revolution and Rebellion in the Early Modern World: Population Change and State Breakdown in England, France, Turkey, and China, 1600-1850. Routledge, 2016.

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