Which environmental dimension of a PESTEL analysis examines government stability, trade regulations, and tax policies?

Explanation

• The Political segment of PESTEL analysis investigates government stability, foreign trade policy, tax structures, labor laws, and political risk.
• PESTEL stands for Political, Economic, Social, Technological, Environmental, and Legal forces in the macro-environment.
• PESTEL evaluates macro-environmental external trends, whereas Porter’s Five Forces assesses micro-environmental industry competition.