Assessment-2 Environmental Analysis1.PEST Analysis PEST analysis consists of analysis of political, economic, social and technologicalenvironment of organisation. PoliticalTariff on import of espresso machines will be removed.Strong possibility of introduction to impose carbon tax on all energy intensiveproducts used for commercial use. EconomicStrengthen of Australian dollar against trading partners in coming years. SocialLifestyle trend to eat out is becoming more affluent and frequent.Steady population growth rate.TechnologicalNew espresso machines are developed which use 30% less energy.Home market for espresso machines is experiencing high growth2. SWOT analysis 1. StrengthGood reputation after sales servicesExcellent advertising and marketing mix.State of art Management information system2. WeaknessPoor performance of contracted delivery company.