Social Technological Economic Ecological Political
Conditions that the firm can’t change, but can adapt to
Focus on environmental trends
What are the major trends
Historical evolution of these trends
What is the rate of change?
Which strategies maximize benefits/minimize costs associated with these trends?
Environmental trends affecting Cementos Lima
Demographic: population size, age structure, ethnic mix, geographic distribution, etc.
Economic: interest rates, inflation rates, budget deficits, etc.
Political/legal: laws and government policies
Socio-cultural: cultural attitudes and views
Technological: knowledge and innovation
Global: from regional to national to global level of analysis
Analysis of stakeholders
Stakeholders: individual or groups who can affect, and are affected by, the strategic outcomes
achieved and who have enforceable claims on a firm’s performance – any group or individual
who can affect or is affected by the achievements of the firm’s objectives
Types of stakeholders: local communities, shareholders, suppliers, customers, governments,
Activists representing interests of stakeholders: consumer advocated, media, unions,
Cementos Lima’s Stakeholders: shareholders, employees, government, and community
Founded by the Prado Family
68% family owns, 32% among domestic and foreign investors
Small and larger shareholders, different interests/goals
Shareholders that control the majority of share have control over the firm
are needed to see t