Pest of Li Fung Limited

Introduction

Li & Fung Limited is the Hong Kong Headquartered multinational group and recognized as the world's leader in consumer goods design, development, sourcing and distribution. The Company specializes in supply chain management for leading retailers and brands worldwide via an extensive global network.

Li & Fung Limited would like to develop the new produce line of the glasses to London for the local people and forces for the people who care about the design of the glasses and use the glasses for a part of the ornament of their style of dress. This produce line was designed for different level customers and who would like to use glasses for the ornament of their daily life. The produce design and the prices were common that was for each level customer can able to buy it. And the product was produce in Bangladesh so the prices of the products were general and the customers could able to buy it for their daily life use.

We also set up another produce line in Japan and design by the different country designer that the produces was for the higher level customer who have high ability to consume. All of the products were hand making and only produce little amount around the world. So, the prices of the products were expensive and the design was unique of the glasses around the world.

PEST Analysis

Political

According to the World Bank assessment report, Bangladesh was one of the most liberal investment country which in South Asia. The Bangladesh Government was encouraged foreign investment and private investment to Bangladesh to help the local economic development. The local government also attracts foreign investment, in order to enhance the level of production of the domestic industry to solve the employment problem of the huge surplus labor, as well as to achieve the development of the national economy, improving people's living conditions purpose.

The Bangladesh Government had to introduce laws and relevant policies to measures that to protect the investors. The local government has issued the following laws:

1. The Foreign Private Investment (Promotional & Protection) Act, 1980

2. The Bangladesh the Export Processing Zones Authority Act, 1980

3. The Investment the Board Act, 1989

4. The Companies Act, 1994

5. The Bangladesh the Private Export Processing Zones Act, 1996

6. The Industrial Policy, 2005

Economic

The Bangladesh Government was encouraged in all of the foreign investment for all industrial activities in Bangladesh including service industries and toll manufacturing.