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Guatemala Pest Analysis

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PESTLE The first factor to look at in a PEST analysis is the political aspect. Political issues vary from country to country. Guatemala is one of the countries that embrace the multiparty system with the framework of presidential representative. The president is both the head of state and the head of government. There also exists an independent judiciary. However, the current political situation in Guatemala raises concern especially with the increased homicide rates (Echebarría et al, 2005). Although the representative government is taking shape, the country is still under the transition period from the autocratic rule. Therefore in the matters of political stability, Guatemala may not be rated as stable. The Guatemalan administration …show more content…

As per the 2011 analysis, approximately 54% of the population lives in poverty. The country also exhibits one of the most unequal income distributions. As a matter of fact, 10% of the total population consumes about 47% of the total income of the country (Adams & Hawkins, 2007). This is nearly half of the income being consumed by a tenth of Guatemalans. The indigenous population which is approximately a half of the total national population lives in the rural areas. Maternal malnutrition and infant mortality rate are ranked high in Guatemala (Adams & Hawkins, 2007). All these issues result into heavy government expenditure in trying to provide food, education and medication to the vulnerable …show more content…

Being a country that relies greatly on agriculture, Guatemala has embraced modern technology in an attempt to maximize the productivity of the lands. However, this may on the other hand affect employment adversely basically because mechanized farming requires little human resource; yet a majority of the people are employed in the agriculture sector. On to the internet technology, despite having a large number of people being illiterate, internet technology is substantively used (Hinkelman & Shippey, 2004). This is trying to end the problem of poorly developed data transmission

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