Principles of Management

Introduction to Firm-Level Determinants of Political CSR

The ShellCoop Clothing is known to be a retail organization that deals with exclusive clothing meant for those interested in outdoor activities, hiking, fishing, skydiving and walking. The concerned organization has been determined to be a success in the country of Australia and hence it is working with an objective to broaden its business at global level. Moreover, The ShellCoop company is even ready to increase their production and for them meeting the needs and requirements of the new customers in the new market is also not an issue (Sridhar et al. 2016 ). Thus, the main purpose of this report is to recommend the country, in terms of which the ShellCoop Clothing can expand thereby expand the general environment of the country that will create an impact on the business of the concerned organization.

In the first part of the report, a brief introduction of the recommended country would be provided in terms of its suitability for the ShellCoop Clothing to expand its business. In the second part of the report, a pestle analysis of the country of India would be conducted and then it would be linked in terms of its suitability for the ShellCoop company to broaden its business.

In this context, the market in India would be analyzed along with the forces that creates that particular market. Furthermore, the discussion will be about the different factors that is going to create an impact on the concerned organization in its quest to enter the new market that is in India.

Prospects of Business Expansion in India

The retail industry in the country of India has recently experienced a huge transformation as the customary markets in the country are gradually embracing new structures like that of the departmental shops, super markets as well as certain exclusive retail outlets. In this context, the branded clothing market depicts a major portion of the growth of the market in India. The branded clothing for men is showing growth at the rate of 21.8% and the women branded section is showing growth at the rate of 35%. Furthermore, the concerned apparel industry is showing growth at the rate of 23% on the whole (Lupton et al. 2018). .

Additionally, it has been determined that there a few top local retailers of the country that are emerging to be more rigidly fortified. Hence, in the domestic front, the retail clothing sector of India is enhancing their sales related operations and also contributing towards making their transportation as well as technology-oriented efforts more stable. There are multiple vital international participants that has engaged themselves in trading their branded clothing to the country of India over a period of few years. Furthermore, the prevalence of such brands will make the customers in India more updated in terms of the global fashion trends as well as lifestyles, paving way for the concerned industry to move ahead to a greater position in the supply chain (Lupton et al. 2018). Considering the above prospects India would a good option for the ShellCoop Clothing in Australia to expand its business, wherein the concerned organization can get huge customer base to further increase its sales as well as profitability.

PESTLE Analysis of India


· The economy of Asia is growing at higher rate than other parts of the world (Patil, 2019) .

· Government regulations and the Red Tape is a major problem for conducting business in any Asian country.


· Stability of the economical condition of India since the implementation of industrial reform protocols in the year 1991 (Singh et al. 2018) .


· It has been determined that the population of India is even beyond 1.2 billion and out of which 70% of the population emerges from the age group ranging between the age of 15 years to the 65 years (Shirodkar et al. 2018).


· The country of India can access both 3G as well as 4G technologies that has enabled it endorse multiple technological assignments (Shirodkar et al. 2018) .


· In the past few years, the government of India has introduced different regulations in relation to recycling, lowest permissible wage and in terms of the discrimination of the disables (Singh et al. 2018) .


· The quality of air in India has been negatively affected by the different industrial activities taking place in the country (Singh et al. 2018) .

Economic Growth & Government Regulation

The political condition of a country is highly impacted by many different components like that of the protocols introduced by the government of the country, strategies of the government, area of interests as well as the belief systems of the politicians of a particular country. In this context, it can be said that the commercial environment of India is impacted by the multi-directional political conditions of that particular country. The tax system of the country has also been very well established like that of the sales tax, income tax and the service tax (Singh et al. 2018) . This will provide huge prospects to the ShellCorp Clothing to conduct their business in India. Since, the political situation of the country is stable, then it will also lead to the stability in the economic condition of the country as well. Red Tap and certain regulations imposed by the government on foreign business will be the only issue faced the ShellCorp Australia to expand their business in India.

In this context, the country of India has numerous protocols imposed by the government and exhaustive law-related procedures which an international company would be required to comply with one after the other in order to start their business in the country. Moreover, both the residents as well as the international companies has been determined to waiting for years to receive even more than 100 approvals in order to start their business in India. The key reason behind this is the high level of bureaucracy in the country and many a times even due to corruption related activities (Patil, 2019) . Furthermore, the issues in relation to red tapism as well as bureaucracy has the potential to be frequently exceeded by the advantages offered to a foreign company in terms of conducting a business in India.

Furthermore, it is most likely that any international company who is seeking to establish their business in India will not find it good to deal with the above determined regulations as well as to engage in communication with various different government authorities. Hence, it would be recommended for the ShellCorp Clothing company to integrate with domestic business associations in a legal, technological as well in a financial way that will prevent the concerned organization from the basic risks as well as the efforts to expand their business to the country of India (Patil, 2019) .

Economic Benefits of Expanding Business in India

Being a locked economy till the year 1991, the country of India has emerged to be one of the top locations for an international organization in terms of making their investment along with the risks experienced by the concerned business (Rastogi et al. 2016) . The key benefits that would be experienced by ShellCorp if they conduct their business in India would be its affordable and highly competent workforce. Furthermore, the market in India is known to be large and it is also not imbued. Hence, in order to enter the market in India, the ShellCorp Clothing would be needed to deal with risks and complications and should also be in a position to manage new rules in terms of operating their business in India.

Furthermore, the economy of India is one of the speediest expanding economy all over the world. The concerned country is also known to have an aggressively rising segment of consumers, making it a good choice for the ShellCorp Clothing company to expand its business. Additionally, the country of India is also known to be gold reserve in a huge range of industries (Rastogi et al. 2016) . It has also been predicted that by the year 2025 to be the fifth greatest consumer market all over the work, hence it will also serve to a great prospect for the ShellCorp Clothing company to expand their business.

Social & Cultural Factors

Every country is different from one another as far as their language, religion, food habit and attire among many other factors are concerned (Singh et al. 2018). The gap in these factors are known to be original as well as important and it should be taken into notice by the ShellCorp Clothing in terms of determining the obstructions it can cause to their marketing initiatives as well as the benefits the concerned organization can reap from these determined conditions in their process of entering the new market of India.

In this context, it is also recommended for the ShellCorp Clothing to modify their commodities to a considerable level to be able to find acceptance in India to align with the way it can meet the life style of their customers when they enter into the market of India (Singh et al. 2018). However, if the commodities of the concerned organization are industrial in nature, they it will be broadly acknowledged even in those nations that has embraced huge range of practices.

Additionally, the concerned organization will also be required to customize their marketing and other commercial practices in order to adequately meet the social and cultural challenges of India. There are few instances when a particular marketing initiative will opt to trade those commodities that are identical in terms of their culture, however, there are certain marketing initiatives that looks for identical customers in terms of every country in which they are conducting their business (Shirodkar et al. 2018) . Furthermore, like many other situations the gap in the socio-cultural factors has compelled many other organizations to embrace marketing mix and the same is recommended for the ShellCorp Clothing company to embrace it.

Hence, the ShellCorp Clothing company should take into account most fundamental changes in this context, like that of modifying their contents as per the multiple languages in terms of India, in which it is seeking to expand its business (Patil, 2019). Furthermore, the concerned organization can even opt to develop a completely different marketing mix in terms of India, in which they are seeking to expand their business.

Considering the population of India, wherein 70% of the total population falls into the age group ranging between 15 to 65 years of age, the ShellCorp Clothing will get huge number of customers, only if they bring a slight modification in terms of the marketing mix embraced by their organization in the country of Australia (Shaffer et al. 2015).

Technological Factors

As far as technology is concerned, India would also stand to be suitable for the ShellCorp Clothing company if it is planning to expand its business to that particular country. The country of India has good access to 3G and 4G net services, that will also be a plus point for the ShellCorp company to conduct their business (Shirodkar et al. 2018).

Technological factors sometimes cause serious issues in terms of an organization that wants to expand their business in the country of India (Li, 2018). Moreover, it has been determined that an organization that does not have the potential to manage technological changes has no chance of surviving in the new market. Hence, in this context, the ShellCorp Clothing should take an initiative to modify their commodities in order to meet the requirements of the different market that is India the concerned organization is seeking into enter. Furthermore, it has also been determined that if adequate technological development adopted by an organization, then it has the potential to enhance the requirement of the already prevailing commodities of the concerned market (Garg, 2020). Hence, it is also important for the ShellCorp Clothing organization to bring a little transformation in their range of products to meet the technological factors in relation to India and thereby reap the benefit of enhancing the requirements of their products among their target audience in the concerned country.


Like many other developing nations in this world, also the legal frameworks as well as the protocols are continuously developing. These legal framework in relation to India depicts the politics-oriented accommodations that is required to create stability of complicated as well as paradoxical requirements of several bodies of politics. Moreover, the outcome of such an accommodation is high level of unrest of norms and principles which in turn needs to go through a trial and failure method. This implies that both inadequate as well poor norms and principles is considered in the initial phase, however, it is determined to be replaced, if its is found not be working in an adequate manner, not generating good results as well as it has not been determined to be realistic in nature (Thite et al. 2016). Hence, the ShellCorp Clothing should take into consideration about such an imbalance in the different policies of India from time to time and accordingly take their decision to make an investment in the concerned country.

However, there are also several benefits which the concerned organization can reap in the course of expanding their business to the country of India. In this context, it has been determined that the price to be paid to the workers is comparatively low in the country of India along with a huge channel of customers along with many other advantages. In this way, the concerned organization can ensure its financial stability in terms of expanding its commercial activities to the country of India.

Impact of Environmental Factors

The environment-oriented policies of a particular country have the potential to create a huge influence on the business of that particular country, which is significant for the ShellCorp Clothing company to take into consideration in the course of expanding their business to the country of India. The reason behind such an influence is that as per the environmental regulation the concerned organization would be required to bring a transformation in their way of functioning that can prove to be challenging on the part of the concerned organization (Prasad et al. 2017). Furthermore, it might also be required on the part of the concerned organization to bring a transformation in terms of the various instruments it is using in the course of its operation to be able to fulfil the conditions of a specific protocol and this can cause the concerned organization to spend a great portion of their finances.

In terms of India it has been determined that the condition of its air is very unfavourable due to the different industrial activities taken place in the country, which needs to be considered by the ShellCorp Clothing.

Conclusion on Firm-Level Determinants of Political CSR

Through this report it can be recommended that the ShellCorp Clothing can take their decision to expand their clothing business in the country of India. Moreover, the concerned organization had been determined to be successful in Australia. Hence, the concerned organization is suggested to bring a little modification in its way of operations as well as in its products and services in order to ensure success in the new market of India. Furthermore, the best part of expanding the business in India, is that the ShellCorp Clothing will have an access to cheap labour and also enjoy the opportunity of getting a huge channel of customers. Additionally, it has been determined that about 70% of the population in India falls between the age group of 15 years to 65 years of age, hence, it would be great opportunity for ShellCorp Clothing to expand its business in the concerned country.

References for Firm-Level Determinants of Political CSR

 Lupton, N.C., Jiang, G.F., Escobar, L.F. and Jiménez, A., 2018. National income inequality and international business expansion. Business & Society, p.0007650318816493.

Sridhar, R., Sachithanandam, V., Mageswaran, T., Purvaja, R., Ramesh, R., Senthil Vel, A. and Thirunavukkarasu, E., 2016. A Political, Economic, Social, Technological, Legal and Environmental (PESTLE) approach for assessment of coastal zone management practice in India. International Review of Public Administration21(3), pp.216-232.

Rastogi, N.I.T.A.N.K. and Trivedi, M.K., 2016. PESTLE technique–a tool to identify external risks in construction projects. International Research Journal of Engineering and Technology (IRJET)3(1), pp.384-388.

Singh, M., Garg, D. and Luthra, S., 2018. Identifying and Ranking of Challenges to Make in India Campaign Using Analytical Hierarchy Process. Industrial Engineering Journal11(9).

Patil, D.A., 2018. Sustainable bio-energy through bagasse co-generation technology: a PESTEL analysis of sugar hub of India, Solapur. Journal of Emerging Technologies and Innovative Research5(12).

Shaffer, G., Nedumpara, J. and Sinha, A., 2015. State transformation and the role of lawyers: the WTO, India, and transnational legal ordering. Law & Society Review49(3), pp.595-629.

Shirodkar, V., Beddewela, E. and Richter, U.H., 2018. Firm-level determinants of political CSR in emerging economies: Evidence from India. Journal of business ethics148(3), pp.673-688.

Li, M.H., Cui, L. and Lu, J., 2018. Varieties in state capitalism: Outward FDI strategies of central and local state-owned enterprises from emerging economy countries. In State-owned multinationals (pp. 175-210). Palgrave Macmillan, Cham.

Garg, P., 2020. Study on introduction of cashless economy in india 2016: Benefits & challenge's. ACADEMICIA: An International Multidisciplinary Research Journal10(4), pp.552-558.

Thite, M., Wilkinson, A., Budhwar, P. and Mathews, J.A., 2016. Internationalization of emerging Indian multinationals: Linkage, leverage and learning (LLL) perspective. International Business Review25(1), pp.435-443.

Prasad, V., De Jesús, K. and Mailankody, S., 2017. The high price of anticancer drugs: origins, implications, barriers, solutions. Nature reviews Clinical oncology14(6), p.381.

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