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2024 STEEPLE Analysis Update

STEEPLE analysis, an extension of the traditional PEST and PESTLE analyses, assesses the external factors that can influence an organisation or industry. It stands for Social, Technological, Economic, Environmental, Political, Legal, and Ethical factors. In 2024, the landscape has evolved significantly, with emerging trends and challenges reshaping each facet. Below are the key factors relevant in 2024, organised by STEEPLE factor, along with frequently asked questions (FAQs) and their answers:

The top STEEPLE factors, with FAQs, for 2024

Top Social Factors

1. The Digital Divide

What is The Digital Divide?

The digital divide refers to the gap between those who have access to modern information and communication technologies (ICTs) and those who don’t.

How does The Digital Divide impact businesses?

Businesses must consider the varying levels of digital access among their target audience when designing products, services, and marketing strategies.

2. Health and Wellness Trends

What are the top health and wellness trends to watch in 2024?

Trends include increased interest in mental health, plant-based diets, and fitness technologies like wearables.

How can businesses make the most of health and wellness trends in 2024?

Businesses can develop products and services aligned with health-conscious consumer preferences, such as offering wellness programs or incorporating eco-friendly practices.

Top Technological Factors

1. Artificial Intelligence (AI) Integration

How is AI being integrated into industries?

AI is increasingly used for automation, predictive analytics, and personalised customer experiences across various sectors.

What are the ethical considerations with AI?

Ethical concerns include biases in AI algorithms, data privacy issues, and potential job displacement.

2. 5G Technology

What is 5G technology?

5G is the fifth generation of wireless technology, offering faster speeds, lower latency, and increased connectivity.

How does 5G impact businesses?

It enables innovations such as IoT devices, augmented reality (AR), and real-time data analytics, transforming industries like healthcare, manufacturing, and transportation.

Top Economic Factors

3. Supply Chain Disruptions

What causes supply chain disruptions?

Disruptions can result from natural disasters, geopolitical tensions, or global crises like the COVID-19 pandemic.

How can businesses mitigate supply chain risks?

Diversifying suppliers, investing in digital supply chain technologies, and adopting agile strategies can enhance resilience.

4. Rise of the Gig Economy

What is the gig economy?

The gig economy refers to a labor market characterized by short-term contracts and freelance work, often facilitated by digital platforms.

How does it impact traditional employment models?

It offers flexibility to workers but raises concerns about job security, benefits, and labor rights.

Top Environmental Factors

1. Climate Change Regulations

Why are climate change regulations important?

Regulations aim to mitigate greenhouse gas emissions, promote sustainable practices, and adapt to climate-related risks.

How do businesses comply with regulations?

Businesses can reduce emissions, adopt renewable energy sources, and implement eco-friendly policies and technologies.

2. Circular Economy Practices

What is a circular economy?

A circular economy aims to minimize waste and resource depletion by promoting reuse, recycling, and product longevity.

How can businesses move to a circular economy model?

Strategies include redesigning products for durability, implementing take-back programs, and fostering partnerships for resource sharing.

Top Political Factors

1. Trade Policies and Tariffs

How do trade policies affect businesses?

Policies like tariffs and trade agreements can impact costs, supply chains, and market access for businesses operating internationally.

How can businesses adapt to changing trade dynamics?

Businesses can diversify their markets, monitor policy changes, and advocate for favorable trade conditions.

2. Geo-political Tensions

What are examples of geopolitical tensions impacting businesses?

Tensions between nations can lead to trade restrictions, cybersecurity threats, and disruptions in supply chains.

How can businesses navigate geopolitical risks?

Businesses can conduct risk assessments, diversify operations, and establish contingency plans to mitigate the impact of geopolitical uncertainties.

Legal Factors

1. Data Privacy Regulations

Why are data privacy regulations important?

Regulations protect individuals’ personal data from misuse, ensuring transparency and accountability in data processing.

How do businesses ensure compliance with data privacy laws?

Businesses must implement robust data protection measures, obtain consent for data collection, and provide clear privacy policies.

2. Employment Laws and Regulations

What do Employment laws encompass?

Employment laws govern aspects such as minimum wage, working hours, workplace safety, and employee rights.

How can businesses stay compliant with labor regulations?

Businesses should stay informed about labor laws, prioritise employee welfare, and establish fair employment practices.

Ethical Factors

1. Corporate Social Responsibility (CSR)

What is corporate social responsibility (CSR)?

CSR refers to a company’s commitment to conducting business in an ethical and sustainable manner, considering its impact on society, the environment, and stakeholders.

Why is CSR important?

CSR enhances reputation, fosters trust with stakeholders, attracts socially conscious consumers, and contributes to long-term business sustainability.

2. Ethical Supply Chain Practices

What are ethical supply chain practices?

Ethical supply chain practices ensure fair labor conditions, environmental sustainability, and respect for human rights throughout the supply chain.

Why are ethical supply chain practices important?

They mitigate risks associated with labor violations, environmental damage, and reputational harm, while also aligning with consumer preferences for ethically sourced products.

3. Diversity and Inclusion Policies

What are diversity and inclusion policies?

These policies promote a diverse workforce and an inclusive workplace culture that values differences in gender, race, ethnicity, sexual orientation, and other characteristics.

Why are diversity and inclusion important for businesses?

Diversity and inclusion foster innovation, improve decision-making, enhance employee morale and productivity, and cater to diverse customer demographics.

4. Ethical Marketing Practices

What are ethical marketing practices?

Ethical marketing practices involve transparent and truthful communication, respect for consumer privacy, and avoidance of deceptive or manipulative tactics.

Why are ethical marketing practices important?

Ethical marketing builds trust and credibility with consumers, strengthens brand reputation, and fosters long-term customer loyalty.

5. Fair Trade and Ethical Sourcing

What is fair trade and ethical sourcing

Fair trade ensures producers in developing countries receive fair compensation and adhere to social and environmental standards, while ethical sourcing prioritizes suppliers that uphold ethical labor and environmental practices.

Why is fair trade and ethical sourcing important?

They promote social justice, support sustainable livelihoods for producers, and address concerns about exploitative labor and environmental degradation in global supply chains.

2024 STEEPLE Analysis – Summary

The above factors and FAQs are important areas in 2024. However, you should always consider the other areas that are consistent throughout the years.

Save time: use our STEEPLE Cheat Sheet powerpoint template

Use this template to provide the full list of STEEPLE factors, as well as the top factors in 2024.

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2024 PESTLE Analysis Update

PESTLE Analysis Update for 2024

This 2024 update builds on our previous PESTLE Update for 2023, and the PESTLE update in 2022. Each year we review our PESTLE analysis approach, in light of macro factors globally.

2024 PESTLE factors update by category

These are just some potential updates to consider when revisiting your PESTLE analysis in 2024. Remember, the specific factors that will be most relevant will depend on your industry, location, and business goals.

What are new Political factors to consider in 2024 PESTLE analyses?

1. Geopolitical tensions: Continued or escalating conflicts in regions like Ukraine or the South China Sea could impact supply chains, resource availability, and global economic stability.
2. Increased government intervention: Governments may continue to play a stronger role in regulating industries and markets, especially in areas like climate change and data privacy.
3. Shifting political alliances: Changing international relationships and trade agreements could affect business operations and market access.

What are new Economic factors relevant for 2024 PESTLE analyses?

1. Global economic slowdown: Concerns about inflation, rising interest rates, and potential recession could impact consumer spending and business confidence.
2. Supply chain disruptions: Ongoing uncertainties related to pandemics, geopolitical tensions, and climate change could continue to disrupt supply chains.
3. Shifting income inequality: Growing wealth disparities could affect consumer behavior and demand for certain products and services.

What are new Sociocultural factors important for 2024 PESTLE analyses?

1. Rising environmental consciousness: Consumer demand for sustainable products and services is likely to grow, influencing business practices and supply chains.
2. Demographic shifts: Aging populations, urbanization trends, and changing family structures will need to be factored into market strategies.
3. Increased focus on well-being: Growing mental health concerns and emphasis on work-life balance could impact workforce dynamics and consumer preferences.

What are new Technological factors for 2024 PESTLE analyses?

1. Continued rise of automation and AI: Artificial intelligence and automation are expected to further impact various industries, leading to job displacement and the need for new skills.
2. Advancements in renewable energy: Technological breakthroughs in renewable energy could accelerate the transition away from fossil fuels, impacting energy policy and related industries.
3. Evolving cybersecurity threats: The rise of sophisticated cyberattacks and ransomware necessitates updated security measures and risk management strategies.

What are new Legal factors for 2024 PESTLE analyses?

1. Data privacy regulations: Stricter data privacy regulations, such as GDPR and CCPA, will continue to shape how businesses collect and use personal data.
2. Labor law changes: New regulations regarding minimum wage, employee rights, and remote work could impact hiring practices and workforce management.
3. Increased focus on corporate ethics: Growing scrutiny of corporate behavior and sustainability practices may lead to stricter regulations and ethical considerations for businesses.

What are new Environmental factors for 2024 PESTLE analyses?

1. Climate change impacts: Intensifying extreme weather events, rising sea levels, and resource scarcity will necessitate adaptation strategies and climate-resilient business practices.
2. Biodiversity loss and depletion of natural resources: Businesses will need to be mindful of their environmental footprint and consider sustainable resource management strategies.
3. Transition to a circular economy: Increased focus on reducing waste and closing resource loops will drive innovation and new business models.

It’s also important to keep in mind that these factors are often interrelated and complex. It’s crucial to consider how they might interact with each other and impact your business in unforeseen ways.

Get a head start for your PESTLE Analysis

We update our PESTLE Cheat Sheet each year, and it includes the historical cheat sheets so that you can look at some previous years’ guides.

How to take new 2024 factors into your PESTLE Analysis

Explore new Political factors

  • Government Policies: Evaluate any recent changes in government policies, regulations, or political stability that could impact your organization.
  • Geopolitical Trends: Consider geopolitical shifts and tensions that may affect international business operations.

Explore new Economic factors

  • Global Economic Trends: Assess the current state of the global economy and any emerging trends.
  • Inflation and Interest Rates: Examine inflation rates, interest rates, and currency exchange rates that might affect your business.

Explore new Sociocultural factors

  • Demographic Changes: Look for shifts in population demographics, such as age, gender, and cultural preferences.
  • Social Values: Consider changes in societal values, attitudes, and lifestyle trends that could impact consumer behavior.
  • Health and Pandemics: Assess the impact of current and potential future health crises, pandemics, or public health concerns on your business.
  • Social Responsibility: Consider the increasing importance of ethical business practices and corporate social responsibility.

Explore new Technological factors

  • Technological Advancements: Identify the latest technological developments and how they might impact your industry.
  • Digital Transformation: Consider the ongoing digital transformation trends and their relevance to your business.
  • Cybersecurity: Examine the evolving landscape of cybersecurity threats and measures, especially if your business relies heavily on technology.
  • Supply Chain Resilience: Evaluate the resilience of your supply chain, taking into account recent disruptions and potential risks.

Explore new Legal factors

  • Regulatory Changes: Stay informed about any new laws, regulations, or legal requirements that affect your industry.
  • Data Protection and Privacy: Assess any updates in data protection and privacy laws that may impact your organization.

Explore new Environmental Factors

  • Climate Change Initiatives: Evaluate the impact of global efforts to address climate change on your business.
  • Sustainability Practices: Consider the growing importance of sustainability and how it may affect your operations.

Keep refreshing your PESTLE!

Regularly updating your PESTLE analysis ensures that your organization stays informed about the external factors that could impact its strategic decisions and operations. It’s important to stay vigilant and adapt to the changing business environment.

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PESTLE Updated for 2022

In 2022, entrepreneurs launching new products and services must consider the new ecosystem of Political, Economic, Social, Technological, Legal, and Environmental factors.

See our updated PESTLE for 2023 post here.

PESTLE is a well-known analysis tool in the business world. It was developed in 1988 to help people assess external factors that could affect their business, and has been updated every few years since then. This blog post will show you how to use PESTLE for 2022 – new tips and techniques that are essential for success!

Some PESTLE basics

What does PESTLE mean?

P is for Political.
E is for Economic.
S is for Socioeconomic.
T is for Technological.
L is for Legal.
E is for Environmental.

How do I present a PESTLE analysis?

Prioritize the factors that you unearth in each PESTLE category. Select the factors that will:
a) have the most profound effect in steering the direction of your business.
b) require opportunity investment or risk mitigation.

How do I create a PESTLE Analysis?

There are a variety of formats: Cheat sheets, matrices, backlogs, and more. You can see a variety of PESTLE formats here.

Why does PESTLE need to change in 2022?

The world is still recovering from the effects of the pandemic. The United States has been able to regain its footing, but other countries are still struggling with food shortages and political unrest. Despite these issues, though, there are ways that businesses can take advantage of opportunities in their environment for success! This guide will update you on what’s changed since 2019 – how PESTLE analysis needs to be different now than it was then – as well as provide new tips and techniques for conducting a successful PESTLE Analysis.

Top PESTLE Factors in 2022

What are the important PESTLE factors to watch in 2022?

1. Political: Increasing international tensions; Increased polarization on all topics.
2. Economic: The effect of de-centralized currencies (crypto); Green tech pressures.
3. Socioeconomic: Personal space issues; Transport preferences; Working preferences; Gaming
4. Technological: Remote working tech; Crypto tech;
5. Environmental: Green concerns;
6. Legal: Changing legislation around health status;
7. Ethical: Rising unrest around equality; Rising unrest around Liberty;

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PESTLE Analysis

PESTLE Cheat Sheet for Keynote on Mac

What? Do you mean Pestle and Mortar?

No we don’t. PESTLE stands for Political, Economic, Social, Technological, Legal and Environmental. It’s a well established way of  a business or enterprise to track the wider environment in which they are operating in.

Is it still relevant?

Yes. Well mostly – there has been some debate about that. The problem is that if you undertake the analysis work once you tend to not review it for awhile so it feels static despite the world changing fast. Other methods have been suggested; STEEPLE being one (Social, Technological, Economic, Environmental, Political, Legal and Ethical)

I get confused between what falls into what category.

Us too!

The main challenge is keeping your PESTLE Analysis current!

As long as you cover all factors in your project, AND KEEP IT CURRENT then you are doing very well. Some points can be argued into different areas of the PESTLE, and if this is the kind of discussion going on over your PESTLE document, then you have covered all the important points.

Some examples might help.

Of course. Here we go:

Example PESTLE Analysis items

Political – If an election is due and there is public pressure to reduce spending in an area where traditionally there are government subsidies this is a factor!

Economic – Oil prices hit a low; if your business has heavy transportation costs this will start to help.

Social – The rise of E-cigarettes is seen as a healthier and more socially acceptable alternative to traditional cigarettes

Technological – Back to E-cigarettes – the technology behind them (essentially a delivery system) allowed the industry to explode.

Legal – Unless the above were to be made illegal

Environmental – European short-fall of snow affecting ski resorts the most obvious example

Anything else we should know about PESTLE?


PESTLE Analysis documents and guides for further use can be found here