BEA Confidential. | 1

PESTEL Force Analysis---- Political and Legal Force

Liting DaiRui Liu

Yi LiYige Xiao

PESTEL Force

Good use of PESTLE analysis helps you avoid taking action that is likely to lead to failure for reasons beyond your control

Use of PESTLE helps you break free of assumptions, and helps you quickly adapt to the realities of the new environment

Ref. 1, 2

Political and Legal Force

Have territorial boundary in most industries

Different countries has different policy and law from limitation, protection, to stimulation in the same industry

Various influence from both domestic and international

Systematicity and integrity

Virtual World Industry

Virtual world Computer-based simulated environment For users to inhabit and interact via avatars

Virtual world industry Went through “five ages” in past three decades Now on the verge of sixth age Emerging from primarily boutique and experimental uses to the

mainstream More issues existing in real world will emerge in virtual world

Ref. 3, 4

Effect in 2-3 years

A positive political environment to stimulate virtual world industry (capital and technical)

More relative laws will focus on virtual assets, intellectual property rights and even the game enjoyment of paying users, reducing the current conflict

With the technical and functional development, new laws will gradually take over the role playing by “ethic” or “rule” currently

Try to solve inter-racial and inter-cultural problem

Undeniably, policy or law might specify some “forbidden area” for some issue in virtual world currently

Reference

1.http://wiki.mbalib.com/wiki/PESTEL%E5%88%86%E6%9E%90%E6%A8%A1%E5%9E%8B

2.http://www.rapidbi.com/created/the-PESTLE-analysis-tool.html

3.http://en.wikipedia.org/wiki/Virtual_world#E-commerce_.28legal.29

4. Christian Renaud and Sean F. Kane, Esq.; Virtual World Industry Outlook 2008-2009; August, 2008

Thank you

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