PEST – DONE RIGHT!
Use this to identify the opportunities and threats that are facing all the organisations in your business sector.
It is often incorrectly assumed that the difference between PEST and SWOT analysis is that SWOT deals with internal factors affecting an organisation and PEST external factors. The real difference is that whereas SWOT is concerned with issues unique to a single organisation a PEST analysis seeks to identify issues that will impact on all the organisations in a specific sector, e.g. car manufacturers and the move to phase out diesel engines. It is how well your organisation has anticipated and/or adapts to these changing external factors compared to your competitors that will determine your success.