Effect of the PESTELE Factors on the Marketing Strategy of the FMCG Sector in India

B.Sc. Neelkumar Kapashi, BBA

Master's thesis

Abstract:

The FMCG sector is the fourth largest sector in India with a dominance of various players in this huge industry competing against each other. In this highly competitive market, FMCG companies need to ace their marketing strategies so as to fulfil their business objectives. However, apart from the internal factors, there are many external forces which impact on the way the marketing strategy of any FMCG company is drafted. PESTELE analysis is one tool which can help companies identify the opportunities and threats presented by several overlapping factors in the country’s political, economic, social, technological, ecological, legal and ethical scenario. The purpose of this thesis is to study the impact of these PESTELE factors on the marketing strategy of the FMCG sector in India. Existing literature on the subject was reviewed, as well as primary data was collected with the help of a survey among 150 participants from India. The chi square statistic was used to conduct the test of independence on the developed hypothesis using cross tabulation. The results declared that all of the PESTELE factors, namely political, economic, social, technological, environmental/ecological, legal and ethical factors impact the marketing strategy of the FMCG companies. In the light of this discovery, the FMCG companies in India should draft their marketing strategy touching all the variables of the marketing strategy of the FMCG companies - product, price, promotion, place, physical evidence, process and people.

Keywords

FMCG SECTOR, PESTELE Analysis, Political Factor, Economic Factor, Social Factor, Technological Factor, Ecological Factors, Legal Factors, Ethical Factors, Marketing Strategy

Language used: English

Date on which the thesis was submitted / produced: 1. 12. 2020

Thesis defence

• Supervisor: Ing. Michal Chocholoušek, Ph.D.

Czech University of Life Sciences Prague

Faculty of Economics and Management

Master programme / field:
Economics Policy and Administration / Business Administration