Their advertisements feature major celebrities and athletes like Stephen Kiprotich and others.

Mukwano beverage worksheet guides through these steps.

Brainstorm Factors

Political Factors to Consider

Political factors refer to the degree of government intervention in the economy. The legal and
regulatory factors included are labor laws, tax policies, consumer protection laws, employment
laws, environmental regulations, and tariff & trade restrictions. Often, the foreign policy of a
country play an important role in determining the trade regulations, which can either result in
trade restrictions or trade incentives. The industry-specific regulations imposed by the
government also significantly impact the company and are also a part of this category in the
PEST analysis.

When is the country's next local, state, or national election? How could this change government
or regional policy?

Who are the most likely contenders for power? What are their views on business policy, and on
other policies that affect Mukwano Beverage Company?

Depending on the country, how well developed are property rights and the rule of law, and how
widespread are corruption and organized crime? How are these situations likely to change and
how is this likely to affect you?

Could any pending legislation or taxation changes affect your business, either positively or
negatively?

How will business regulation, along with any planned changes to it, affect Mukwano business?
And is there a trend towards regulation or deregulation?

How does government approach corporate policy, corporate social responsibility, environmental
issues, and customer protection legislation? What impact does this have, and is it likely to
change?

What is the likely timescale of proposed legislative changes?

Are there any other political factors that are likely to change?

Economic Factors to Consider

Economical factors include the inflation rate, exchange rate, interest rate, employment/
unemployment rate and other economic growth indicators. The economic factors faced by an
organization have a significant impact on how a business carries on its operations in the future.
The exchange rates affect the organization by affecting the cost of imported and exported
goods. Furthermore, the interest rates prevailing in the economy influence the cost of capital
available to the organization and hence play an important role in the expansion and growth of
the organization.

How stable is the current economy? Is it growing, stagnating, or declining?

Are key exchange rates stable, or do they tend to vary significantly?

Are customers' levels of disposable income rising or falling? How is this likely to change in the
next few years?

What is the unemployment rate? Will it be easy to build a skilled workforce? Or will it be
expensive to hire skilled labor?

Do consumers and businesses have easy access to credit? If not, how will this affect your
organization?

How is globalization affecting the economic environment?

Are there any other economic factors that you should consider?

Socio-Cultural Factors to Consider

Social factors include different cultural and demographic aspects of society that form the macro-
environment of the organization. Social factors include career attributes, age distribution,
population and its growth rate, health consciousness and safety awareness. A study of these
factors is important to understand what is PEST, and can help organizations understand the
dynamics of existing and emerging potential markets and future customer needs.

What is the population's growth rate and age profile? How is this likely to change?

Are generational shifts in attitude likely to affect what you're doing?

What are your society's levels of health, education, and social mobility? How are these
changing, and what impact does this have?

What employment patterns, job market trends, and attitudes toward work can you observe? Are
these different for different age groups?

What social attitudes and social taboos could affect your business? Have there been recent
socio-cultural changes that might affect this?

How do religious beliefs and lifestyle choices affect the population?

Are any other socio-cultural factors likely to drive change for your business?

Technological Factors to Consider

Technology is evolving at a rapid pace and consumers are becoming extremely tech-savvy. With
the advent of new technology, older technology gets outdated and obsolete. The technological
factors an organization faces include technological changes, R&D activity, obsolescence rate,
automation and of course, innovation. If an organization does not look out for technological
changes, it can lag behind its competitors.

Their advertisements feature major celebrities and athletes like Stephen Kiprotich and others.
Mukwano beverage worksheet guides through these steps.

Brainstorm Factors

Political Factors to Consider

Political factors refer to the degree of government intervention in the economy. The legal and
regulatory factors included are labor laws, tax policies, consumer protection laws, employment
laws, environmental regulations, and tariff & trade restrictions. Often, the foreign policy of a
country play an important role in determining the trade regulations, which can either result in
trade restrictions or trade incentives. The industry-specific regulations imposed by the
government also significantly impact the company and are also a part of this category in the
PEST analysis.

When is the country's next local, state, or national election? How could this change government
or regional policy?

Who are the most likely contenders for power? What are their views on business policy, and on
other policies that affect Mukwano Beverage Company?

Depending on the country, how well developed are property rights and the rule of law, and how
widespread are corruption and organized crime? How are these situations likely to change and
how is this likely to affect you?

Could any pending legislation or taxation changes affect your business, either positively or
negatively?

How will business regulation, along with any planned changes to it, affect Mukwano business?
And is there a trend towards regulation or deregulation?

How does government approach corporate policy, corporate social responsibility, environmental
issues, and customer protection legislation? What impact does this have, and is it likely to
change?

What is the likely timescale of proposed legislative changes? Are there any other political factors
that are likely to change?

Economic Factors to Consider

Economical factors include the inflation rate, exchange rate, interest rate, employment/
unemployment rate and other economic growth indicators. The economic factors faced by an
organization have a significant impact on how a business carries on its operations in the future.
The exchange rates affect the organization by affecting the cost of imported and exported
goods. Furthermore, the interest rates prevailing in the economy influence the cost of capital
available to the organization and hence play an important role in the expansion and growth of
the organization.

How stable is the current economy? Is it growing, stagnating, or declining?

number of scenariosstories about how the future might unfold and how this might affect an
issue that confronts them. The issue could be a narrow one: whether to make a particular
investment, for example. Should Mukwano group of companies put in millions into more out of
town megastores and their attendants car parks, or should it invest in secure websites and a
fleet of van to make door to door deliveries?

Scenarios deal with two worlds; the world of facts and the world of perceptions. They explore for
facts but they aim at perceptions inside the heads of decision-makers. Their purpose is to
gather and transform information of strategic significance into fresh perceptions.

The process of scenario planning usually begins with a long discussion about how the
participants think that big shifts in society, economics, politics and technology might affect a
particular issue. From this the group aims to draw up a list of priorities, including things that will
have the most impact on the issue under discussion and those whose outcome is the most
uncertain.

Mukwano group of companies Aqua Sipi specifically

Imagine that you're facing a really significant decision, which could fundamentally affect your
personal life, or could determine the future of your business. Maybe you're thinking about
"stretching your finances" to buy a bigger house. Or maybe you're thinking of launching a new
product which you know could "cannibalize" existing sales.

Perhaps you've done the numbers, and these seem ok. But deep down, you dread what could
go wrong. After all, no one has a foolproof vision of the future, and while you may have strong
instincts as to how things may develop any single projection of the future is clearly vulnerable to
disruption by a range of different factors.

Scenario Analysis helps you bring these fears into the open and gives you a rational and
professional framework for exploring them.
Using it, Mukwano companies (beverage division) can make decisions in the context of the
different futures that may come to pass. The act of creating scenarios forces you to challenge
your assumptions about the future. By shaping your plans and decisions based on the most
likely scenarios, you can ensure that your decisions are sound even if circumstances change.

In Scenario Analysis, the scenarios are stories about the way the world might turn out if certain
trends continue and if certain conditions are met.

Eight Steps of Scenario Building SCENARIO BUILDING In studying alternative futures we are
using Scenario Building is an approach originally proposed as a business strategy in 1970s
(Royal Dutch/Shell) and recently used by Mukwano group to systematically and creatively think
about plausible futures. Scenarios are plausible alternative futures what might happen under
particular assumptions. By focusing on key drivers, complex interactions, and irreducible
uncertainties, scenario building generates the futures within which we can assess alternative
mitigation strategies

number of scenariosstories about how the future might unfold and how this might affect an
issue that confronts them. The issue could be a narrow one: whether to make a particular
investment, for example. Should Mukwano group of companies put in millions into more out of
town megastores and their attendants car parks, or should it invest in secure websites and a
fleet of van to make door to door deliveries?

Scenarios deal with two worlds; the world of facts and the world of perceptions. They explore for
facts but they aim at perceptions inside the heads of decision-makers. Their purpose is to
gather and transform information of strategic significance into fresh perceptions.

The process of scenario planning usually begins with a long discussion about how the
participants think that big shifts in society, economics, politics and technology might affect a
particular issue. From this the group aims to draw up a list of priorities, including things that will
have the most impact on the issue under discussion and those whose outcome is the most
uncertain.

Mukwano group of companies Aqua Sipi specifically

Imagine that you're facing a really significant decision, which could fundamentally affect your
personal life, or could determine the future of your business. Maybe you're thinking about
"stretching your finances" to buy a bigger house. Or maybe you're thinking of launching a new
product which you know could "cannibalize" existing sales.

Perhaps you've done the numbers, and these seem ok. But deep down, you dread what could
go wrong. After all, no one has a foolproof vision of the future, and while you may have strong
instincts as to how things may develop any single projection of the future is clearly vulnerable to
disruption by a range of different factors.

Scenario Analysis helps you bring these fears into the open and gives you a rational and
professional framework for exploring them.

Using it, Mukwano companies (beverage division) can make decisions in the context of the
different futures that may come to pass. The act of creating scenarios forces you to challenge
your assumptions about the future. By shaping your plans and decisions based on the most
likely scenarios, you can ensure that your decisions are sound even if circumstances change.

In Scenario Analysis, the scenarios are stories about the way the world might turn out if certain
trends continue and if certain conditions are met.

Eight Steps of Scenario Building SCENARIO BUILDING In studying alternative futures we are
using Scenario Building is an approach originally proposed as a business strategy in 1970s
(Royal Dutch/Shell) and recently used by Mukwano group to systematically and creatively think
about plausible futures. Scenarios are plausible alternative futures what might happen under
particular assumptions. By focusing on key drivers, complex interactions, and irreducible
uncertainties, scenario building generates the futures within which we can assess alternative
mitigation strategies