Electric Cycle Business Environment
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1. Select a African country and apply the PESTEL model for an analysis of the environment for electric bicycles.
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Solution Summary
This solution explains the PESTEL model in the context of electric cycle business in an African country. The sources used are also included in the solution.
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Step 1
An electric bicycle is a bicycle with an integrated electric motor which can be sued for propulsion. The country selected is Kenya. Electric cycling makes commuting, and traveling long distances relatively easy.
We first consider the PEST or political factors, economic factors, social factors, and technological factors in Kenya. Kenya is a founding member of the East African Community. The political factors are that Kenya is covered by the US Government's African Growth and Opportunity Act which has boosted manufacturing. It is now possible to set up facilities for making electric bikes in Kenya. Further, the new government has introduced favorable tax measures that include removal of duty on capital equipment and other raw materials. Equipment required for making electric cycles can be imported without duty. The economic factors are per capital GDP is $3,304. More than 45% of the population is ...
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