PESTLE/PESTEL Analysis of Subway Restaurants

Customers in more than 100 countries, walk into Subway for their delicious, healthy options. It’s likely one
of the first restaurants to pop into your head when you’re craving something low-calorie, easy, and healthy
for dinner.

The company boasts their vast selection of fresh, healthy meats and bread. Their slogan is “eat fresh” after
all. And health-conscious customers adore it.

But that doesn’t mean the company hasn’t faced challenges. Especially after a certain spokesperson of theirs
was convicted of a heinous crime.

This PESTLE analysis of Subway explores how the six external factors influence the company’s success.
Let’s start with the political factors.
Political factors affecting Subway: Food and safety guidelines
Subway is considered a fast food restaurant. And, like any business in the food industry, Subway must abide
by political factors. Following the restrictions of the health and safety regulations is the company’s top
priority. From packaging to distribution, Subway and their workers handle the responsibility of their food
products.

However, health guidelines change based on a country’s specific policies. The regulations in the United
States differ overseas compared to Muslim countries. There, most companies abide by a strict Halaal food
restriction. If the food isn’t Halaal, it won’t be eaten by the general public.

Subway needs to make sure they’re following the rules in each location strictly. Otherwise, they may lose
favor with their customers.

Subway economic factors: Customers happily buying subs

In the west, customers have more disposable income than ever. Add in the benefits of inexpensive options
fast-food restaurants typically offer, and customers are happily spending money at places like Subway.

It wasn’t always like this though. Fast food sales were affected during the recession several years ago.
Retaining customers was difficult; many were laid off or terrified of being laid off. At this time, fast food
was more of a “luxury” purchase. People were counting every penny and spending it on only the necessities.
Subway didn’t make the cut.

Luckily, Subway has shown an ability to adapt to changing trends. They offer unique and healthy options for
the general public. They’re a “saving grace” in a world filled with high sodium, high-calorie fast food.

Unfortunately, Subway did face a social backlash with their connection to a certain individual within the last
couple of years.

Social factors affecting Subway: The “Subway” guy

For many years, Subway’s marketing campaigns starred a man named Jared Fogle. He quickly became
dubbed “the Subway guy”. By eating only Subway, he managed to lose an excessive amount of weight.
Considering Subway prides itself on being healthy, using Fogle as a literal “before and after” spokesperson
was smart.

The ads with Fogle were incredibly successful. People knew him the moment he popped onto the screen.
Others envied Fogle’s intense transformation; they yearned for an equally impressive weight loss.
Everything was all well and good… until Fogle was accused and then convicted as a child molester.

In those months, Subway quickly set a line in the sand between themselves and Fogle. Nothing tanks a brand
better than being associated with a child molester, after all. Subway started a race to separate their identity
with the Subway guy they created.

Subway still has the healthy angle working for them. They just don’t bring up their former spokesperson.
Ever. And for the most part, Subway hasn’t suffered too much with their association with Fogle. But for
months, it was difficult for the brand.

Subway technological factors: Easier marketing but easier bad publicity too
Changes in technology the quality Subway can offer their customers. The brand can now showcase their full
menu online. They can also provide nutritional information about each offering, including the calories of
individual meats, veggies, and bread of their meals.

Additionally, Subway can advertise their selection on social media. Many fast food places put video ads on
platforms like Facebook and Instagram. And they converse with customers on Twitter. Answering questions
and showing off new promos was once only possible through print and commercials. Now it’s easier to reach
new audiences.

But the addition of social media isn’t always good.

It makes it easier for customers to complain. Or leave bad reviews. This amount of freedom for customers
can be troublesome for Subway. Because unhappy customers are stereotypically the most vocal online. The
anonymity of the internet allows strangers to team up and complain.

Businesses have collapsed due to the influence of social media and consumers before. Subway has to be
wary of how they manage, handle, and treat customers when it’s so easy to destroy a company’s reputation
online.

Legal factors of Subway: Food management and food nutrition

Subway needs to follow food quality laws. This includes keeping an eye on packaging, distribution of food
products, and waste management.
Quality must be maintained in their restaurants too. In many cases, workers must wear hair nets and gloves
before handling any Subway food. If Subway can’t maintain proper compliance and hygiene of their
workers, their stores will shut down.

Additionally, many countries require publicly displaying the number of calories of Subway foods. Although
a legal requirement, it’s also something customers want. But it’s not a requirement in every country.

Subway’s environmental factors: A restriction on food additives

Bills and regulations pressure companies, like Subway, to adopt greener methods. This includes the
management of food and monitoring how the food is grown. Some places criticize the use of pesticides and
antibiotics in the meat served to their customers.
This concern has led Subway to change the use of additives in their foods. They wish to distinguish
themselves against other fast food restaurants, like A&W, Sonic, and Jack’s, who were found to use
antibiotics in their meat (in the United States).
PESTEL/PESTLE Analysis of The Retail Industry
The retail industry is everywhere. Literally. You don’t have to walk down the street to your favorite shop
anymore. Just turn on your smartphone and start shopping online.

With the help of technology, retail is one of those industries that can survive post-economic destruction. It’s
always there, even when buyers don’t have the funds to buy their products.

But just like every other industry, the retail sector is affected by the six principles of PESTLE/PESTLE
analysis. Here’s what you need to know.

Political factors: Anti-trust issues

The revenue and profitability of any retail store are affected by government policies. These regulations
impact the economy, consumer buying habits, and international trade laws. The only thing left for the
company to do about these changes is abide by them.
Each country must abide by their political regulations. The regulations affect which products can be
imported, exported, and sold in stores. Stores offering food products must comply with health guidelines
proposed by the government. If they don’t, not only will the food by pulled from the shelves, but it could also
lead to legal troubles for the company.

It’s not only physical retail stores under scrutiny. We’ve seen shifts in how e-commerce retail leaders operate
over the last few years. Antitrust issues and data breaches are causing the government to look into how data
is stored, used, and shared. This affects the retail industry, particularly big names like Wal-Mart
and Amazon, who provide products online.
When retail stores branch into other countries, they need to abide by the policies in that country too. In some
cases, this can be beneficial. But if the country’s political parties are fickle, it can easily turn into a problem.

Economic factors: Nearly $30 trillion dollars in a couple more years

A stronger economy allows consumers to buy products they want. Rather than just buying products they only
need. It also means more investors are becoming interested in the profitability offered by retail stores. This is
only possible when the economy is on the rise.
When it’s on the decline, the opposite is true. People save their money for products of necessity. They’ll
spend the bare minimum on food while the rest goes towards unpaid bills. This can happen when
unemployment rates spike. Or when a certain industry is hit harder than others.

The retail industry was able to hold itself up even during the recession. It’s one of the few industries who
managed to scrape through. By 2020, the industry may see global sales nearing $30 trillion. Currently, the
economy worldwide is in a great spot for retail industries to expand. Customers have more disposable
income to spend on friverous products.
However, if the economy is poor, it doesn’t matter how many products are offered. Because no one can
afford or justify the purchases. Unless the retail corporations react accordingly (cutting prices), they’ll suffer
profit loss.

Social factors: Buying in bulk and collecting endless data

Consumer preferences are the main social factors affecting the retail industry. For instance, people enjoy
buying products in bulk. This is the exact premise behind CostCo, a Canadian retailer. Here you can find
food products, clothing, and electronics, in large quantities. Stores other than CostCo now mass stock various
products to avoid running out quickly.
These products aren’t bought by retailers on a whim. They use market research to identify buying trends and
shifts in consumer behavior. Understanding these two things helps to find items more likely to boost profits.
Retailers who offer products online can collect data provided by their customers. They can easily see which
products people are buying, leaning towards, or completely ignoring. Then, they shape their offerings based
on this data. It’s a never-ending process.

Companies set targeted ads to customers most likely to visit their stores and buy from them. Larger retailers
can achieve this easier than mom and pop shops. But even smaller shops can benefit from offering discounts
and sales on products. All consumers love a good deal.

Technological factors: A digital catalogue for easy browsing

Retail stores use a variety of technology everyday. Like a point of sales system. As well as cash registers to
manage money after a sale. It’s standard for any store. As technology advances, stores are adopting new
systems, software, and hardware. For instance, smaller stores are making the shift to computers or iPads at
the register. It’s fast and easy to use.
The retail industry has greatly benefited because of the internet. Not only to streamline services, but also to
reach audiences worldwide. Most companies have a business website. It’s basically a digital catalogue for
their products. Big name companies are able to offer a selection online. The products are either shipped to the
customers’ home or the closest store for pickup.

Amazon and Walmart are going head-to-head. Each company offers retail products online, to be sold and
shipped. Other small name companies can’t compete on the same scale. That doesn’t mean they should avoid
having a business website or showcase their products online. It just means they don’t have the means to meet
the same demands as the bigger retailers.
Environmental factors: Contamination and blockchain technology
More retail shops are offering food products. The state of the environment affects the quality of the product
and the selection. It also means having to abide by more economic and political factors. For instance,
corporations fear a “soda” tax; it’s an increased tax for selling soda in stores. Likewise, some shops in other
countries have to pay a tax for offering fatty foods.

And what about food contamination?

Once a food, like lettuce, has E.coli, every store needs to toss out their lettuce. This is costly for the
companies. But now some stores like Walmart are looking to use blockchain technology. It would allow
farmers and manufacturers to input information about food products in real-time. And should a problem
arise, Walmart could find the source immediately. Rather than spending weeks trying to locate where the
contamination started.
If other companies used this, they would know whether their lettuce is truly contaminated. Because when
contamination happens, every store in the chain has to get rid of the product. Whether their food is actually
contaminated or not. Because we just don’t know.

We also can’t forget about environmental issues inside of the stores either. All retail stores need to meet the
environmental requirements for consumer and employee safety. This is set by the government. It’s non-
negotiable.
Legal factors:
A retail store needs to meet legislative conditions before opening the shop. These conditions are often
standard. It includes abiding by taxation laws, labor laws, and more. Legal factors become trickier once the
company expands overseas or offers products online. Then the international laws come into play. As does
data and copyright laws.

Not following these laws exactly as outlined will lead to legal troubles like bankruptcy and foreclosure. It’s
important to understand the laws long before the store is open for business. And as the retailer grows, new
legislative laws come into effect.
Nokia Corporation PESTEL Analysis &
Environment Analysis
The PESTEL analysis is a tool devised by Harvard professor Francis Aguilar to conduct a thorough
external analysis of the business environment of any industry for which data is available. This is an
important step for eventually devising a strategy that can effectively manoeuvre the competition to
maximize a firm's chances of sustainability and profitability. PESTEL is an amalgam of initials of various
factors that not only affect Nokia Corporation but the entire industry as a whole- these factors are
namely Political, Economic, Social, Technological, Environmental and Legal.
PESTEL analysis provides valuable insight into the operating challenges that any company in the
industry appears to face, and so the company in question may face as well. An understanding of the
overall competitive landscape will prevent investors and entrepreneurs from partaking in any risky
ventures if the risk arises out of, say, an unstable political regime or a sudden economic recession. This
may be best exemplified by the recent exit of the United Kingdom from the European Union. The
sudden fallout was political and caused many investors to pull out of new ventures and halt their
expansions, as the future became uncertain in the wake of this decision.

Political Factors that Impact Nokia Corporation

The political factors that may impact the profitability or chances of survival of the company are quite
diverse. The political risks vary from sudden changes in existing political regimes to civil unrest to major
decisions taken by the government. In cases of possible multinationals, one may also include political
factors that take place/ affect not only the host country but also all countries that contain business
operations, or that may engage in trade with Nokia Corporation
To properly appraise the extent of the overall systematic political risk that Nokia Corporation may be
exposed to, the following factors should be considered before taking part in any investments:

 The level of political stability that the country has in recent years.
 The integrity of the politicians and their likelihood to take part in acts of corruption, as the
resulting repercussions may lead to possible impeachments or resignations of high level
government employees.
 The laws that the country enforces, especially with regards to business, such as contract law, as
they dictate what Nokia Corporation is and is not allowed to do. Some countries, for example,
prohibit alcohol or have certain conditions that must be fulfilled, while some government systems
have inefficient amounts of red tape that discourage business.
 Whether or not a company’s intellectual property (IP) is protected. For example, a country that
has no policies for IP protection would mean that entrepreneurs may find it too risky to invest in
Nokia Corporation
 The trade barriers that the host country has would protect Nokia Corporation; however, trade
barriers that countries with potential trade partners would harm companies by preventing
potential exports.
 A high level of taxation would demotivate companies like Nokia Corporation from maximizing
their profits.
 The risk of military invasion by hostile countries may cause divestment from ventures.
 A low minimum wage would mean higher profits and, thus, higher chances of survival for Nokia
Corporation
Economic Factors that Impact Nokia Corporation
Economic factors are all those that pertain to the economy of the country that Nokia Corporation, such
as changes in the inflation rate, the foreign exchange rate, the interest rate, the gross domestic
product, and the current stage of the economic cycle. These factors, and their resulting impact on
aggregate demand, aggregate investment and the business climate, in general, have the potential to
make a company highly profitable, or extremely likely to incur a loss. The economic factors in the
PESTEL analysis are macroeconomic.
The economic factors that Nokia Corporation may be sensitive to, and in turn should consider before
investing may include the following:

 The economic system that is currently operational in the sector in question- whether it is a
monopoly, an oligopoly, or something similar to a perfect competition economic system.
 The rate of GDP growth in the country will affect how fast Nokia Corporation is expected to grow
in the near future.
 The interest rates in the country would affect how much individuals are willing to borrow and
invest. Higher rates would result in greater investments that would mean more growth for Nokia
Corporation
 However efficiently the financial markets operate also impact how well Nokia Corporation can
raise capital at a fair price, keeping in mind the demand and supply.
 The exchange rate of the country Nokia Corporation operates in would impact the profitability of
Nokia Corporation, particularly if Nokia Corporation engages in international trade. The stability
of the currency is also important- an unstable currency discourages international investors.
 A high level of unemployment in the country would mean there is a greater supply of jobs than
demand, meaning people would be willing to work for a lower wage, which would lower the costs
of Nokia Corporation

Social Factors that Impact Nokia Corporation

The social factors that impact Nokia Corporation are a direct reflection of the society that Nokia
Corporation operates in, and encompasses culture, belief, attitudes and values that the majority of the
population may hold as a community. The impact of social factors is not only important for the
operational aspect of Nokia Corporation, but also on the marketing aspect of the organization. A
thorough understanding of the customers, their lifestyle, level of education and beliefs in a society, or
segment of society, would help design both the products and marketing messages that would lead to a
venture becoming a success.
The social factors that affect Nokia Corporation and should be included in the social aspect of the
PESTEL analysis include the following:

 The demographics of the population, meaning their respective ages and genders, vastly impact
whether or not a certain product may be marketed to them. Makeup is mostly catered to women,
so targeting a majority male population would be less population than targeting a population that
is mostly female.
 The class distribution among the population is of paramount importance: Nokia Corporation
would be unable to promote a premium product to the general public if the majority of the
population was a lower class; rather, they would have to rely on very niche marketing.
 To some extent, the differences in educational background between the marketers and the
target market may make it difficult to relate to and draw in the target market effectively. Nokia
Corporation should be very careful not to lose the connection to the target market's interests and
priorities.
 Nokia Corporation needs to be fully aware of what level of health standards, reactions to
harassment claims and importance of environmental protection prevail in the industry as a
whole, and thus are expected from any company as they are seen as the norm.
Technological Factors that Impact Nokia Corporation
Technology can rapidly dismantle the price structure and competitive landscape of an industry in a very
short amount of time. It thus becomes extremely important to constantly and consistently innovate, not
only for the sake of maximizing possible profits and becoming a market leader, but also to prevent
obsolescence in the near future. There are multiple instances of innovative products completely
redesigning the norm for an entire industry: Uber and Lyft dominate the taxi cab industry; smartphones
have left other phones an unviable option for most et cetera.
The technological factors that may influence Nokia Corporation may include the following:

 The recent technological developments and breakthroughs made by competitors, as mentioned

above. If Nokia Corporation encounters a new technology that is gaining popularity in the
industry in question, it is important to monitor the level of popularity and how quickly it is growing
and disrupting its competitors’ revenues. This would translate to the level of urgency required to
adequately respond to the innovation, either by matching the technology or finding an innovative
alternative.
 How easy, and thus quickly, will the technology be diffused to other firms in the industry, leading
to other firms copying the technological processes/ features of Nokia Corporation
 How much an improvement of technology would improve/ transform what the product initially
offers. If this improvement is drastic, then other firms in the industry suffer more heavily.
 The impact of the technology on the costs that most companies in the industry are subject to
have the potential to increase or reduce the resulting profits greatly. If these profits are great in
number, they may be reinvested into the research and development department, where future
technological innovations would further raise the level of profits, and so on, ensuring sustainable
profits over a long period of time.

Environmental Factors that Impact Nokia Corporation

Different industries hold different standards of environmental protection in their head as the norm. This
norm then dictates what every company should aim for, in the least, to prevent becoming the target of
pressure groups and boycotts due to a lack of environmental conscientiousness. A company in the
textile industry, for example, is not expected to incur the same level of pollution and environmental
degradation as an oil company. The new consumer, armed with the interest and the knowledge it
carries, prefers to give its business to companies it views as more ethical, particularly about the
environment in the wake of global warming.
The environmental factors that may significantly impact Nokia Corporation include:

 The current weather conditions may significantly impact the ability of Nokia Corporation to
manage the transportation of both the resources and the finished product. This, in turn, would
affect the delivery dates of the final product in the case of, say, an unexpected monsoon.
 Climate change would also render some products useless. For example, in the case of textiles,
in countries where the winter has become very mild due to Global Warming, warm winter clothes
have much less of a market.
 Those companies that produce extremely large amounts of waste may be required by law to
manage their environmental habits. This may include pollution fines and quotas, which may
place a financial strain on Nokia Corporation
 If Nokia Corporation should (knowingly or unknowingly) contribute to the further endangerment
of an already endangered species may face not only the consequences from the law but also
face a backlash from the general public who may then boycott Nokia Corporation in retaliation.
 While relying, in any percentage, on renewable energy may be expensive, it often receives
support not only from the government but also from its customer base, who may be willing to
pay a premium price for the products that Nokia Corporation may produce.
Legal Factors that Impact Nokia Corporation
The government institutions and frameworks in a country, while technically also political and thus
subject to whichever political party holds the majority in a government body, are also legal and thus
should be considered in a PESTEL analysis. Often Nokia Corporation policies on their own are not
enough to efficiently protect Nokia Corporation and its workers, making Nokia Corporation appear an
undesirable place of employment that may repel skilled, talented workers.
The legal factors that deserve consideration include the following:

 Intellectual property laws and other data protection laws are, as mentioned earlier, in place to
protect the ideas and patents of companies who are only profiting because of that information. If
there is a likelihood that the data is stolen, then Nokia Corporation will lose its competitive edge
and have a high chance of failure.
 Discrimination laws are placed by the government to protect the employees and ensure that
everyone in Nokia Corporation is treated fairly and given the same opportunities, regardless of
gender, age, disability, ethnicity, religion or sexual orientation.
 Health and safety laws were created after witnessing the horrible conditions that employees
were forced to work in during and directly after the industrial revolution. Implementing the proper
regulations may be expensive, but Nokia Corporation has to engage in it, not only due to the law
but also out of Nokia Corporation's personal feeling of ethical and social responsibility to other
human beings.
 Laws are also placed to ensure a certain level of quality or reasonable price for certain products
to keep the customer safe and prevent them for being provided. The industries this applies to
find often their costs elevated.
Fast Food Industry PESTEL Analysis
The popularity of fast food does not cease to increase. Despite rising health consciousness
in the society, the fast food industry has shown healthy growth. Behind it is the consumers’
love for fast food. Since 1970, the U.S. fast food industry has grown rapidly. Its revenue
has grown more than 30 times since then. What was at $6 billion in 1970, stands now at
above $200 billions. A lot has happened in less than fifty years. Changing trends have
affected the industry deeply. In the most recent decades, consumers have grown more and
more health conscious. People are trying to stay in good shape and avoid junk
food. However, the fast food industry has responded well to these changing trends.

The restaurants have adopted healthier menus. They included more and more low calorie
options. However, it is not just the health trends but other trends have also affected the
industry. Brands are focusing on attracting and retaining customers. They have made their
menus and services customer friendly. Apart from it, they have adopted new channels and
styles of marketing. Increased staff hospitality and better delivery options have again
brought customers flocking to fast food joints. The fast food brands like McDonalds, KFC,
Dominos, Subway and Wendy’s have focused on building stronger reputation, providing
better service and healthier food.
Reputation has become important for two reasons. First, it is the competition between the
brands. From McDonalds to Subway, there are hundreds of global and local brands
competing for market share. Second, it is the era of social sharing. Bad news spreads like
wild fire and can immediately affect your image. Losing reputation in the markets means
losing customers and market share. However, the brands remain more than ready to
respond to such disruptive attacks. They keep well managed social media accounts to
engage their fans and followers and to respond to concerns in real time.

Fast Food industry External Analysis

Globally, the fast food industry generates annual revenue of above $570 billion. It employs
more than 4 million in US alone. The growth rate of the industry is expected to
remain around 2.5% in the coming years. There are so many trends that have influenced
the fast food chains. From sustainability to waste reduction and human treatment of the
animals, this sector has been subject to so many changing laws. Quite a lot has
changed since 1970. These changes were followed by innovation in terms of variety as
well as customer service and marketing.
Its size and presence make it an important part of the industry. Despite the changing
trends, fast food industry has showed healthy growth based on some important
factors. The restaurants integrated technology to improve their level of service. However,
these are just the trends. There are political economic, cultural and other factors too that
affect the fast food industry. These factors are analysed in detail below:

Fast food industry pestel

Political
The political factors affecting fast food industry can vary from country to country.
Compliance is of utmost importance. Globally, the fast food brands have to comply with
these requirements. There are regulations related to wages, hygiene and food quality that
need to be complied with. The minimum wage standards can differ from country to country.
In countries where wage rates are higher, costs of labor are also high. Apart from it,
packaging regulations have also changed. Governments can also press the fast food
chains to include healthier items on their menus. These are the most important political
factors that affect the fast food industry. The attitude of governments towards the
businesses has a definite effect upon their performance.

Economic
The recession influenced the fast food industry to some extent. However, since it passed,
spending per consumer has increased. Most of the restaurants have included
cheaper options in their menus and improved customer service. Customer service is an
important area as brands struggled during the recession to retain customers. A number of
changes including increased health consciousness affected fast food sales. Delicious food
was insufficient to attract the customers. So, brands supplemented it with increased
convenience and low costs to encourage customers.

Overall, economic factors are a very important influence on the fast food industry. The
industry demonstrated excellent ability to adapt in the face of the changing trends. To better
adjust to recession and low economic activity, brands included low priced items. They
increase the variety of products on the menu. However, the size of individual spending on
fast food has always depended on the economic conditions in specific markets. In the U.S.
alone, more than 200,000 restaurants feed more than 50 million people daily. With
economic activity surging globally, the spending on fast food could increase further in
future.
Social
Health and lifestyle trends also influence the fast food industry. Health awareness has
affected the entire food industry. It includes not just fast food, but snacks and beverages
and all other foods. People now think before they eat. Consumers’ changed
attitude pressed the restaurant brands to include low calorie options. The social perception
of health has changed vastly. Media has played its own important role in creating this
perception. The fast food industry has faced heavy criticism for targeting young children.

Moreover, the attack on junk food led to people adopting low calorie foods. Such changing
social trends impact the sales of the entire industry. The industry was held liable for the
increasing childhood obesity. As a result, it had to adopt measures like showing nutritional
content on the label and reducing calories in the items. Cultural factors also play an
important role since some cultures do not encourage the consumption of fast food. Still,
most cultures have adopted it with changes to suit the local preference.

Technological
Technological factors are an important force driving the growth of fast food industry. The
fast food sector does not depend only on the attractiveness of its menu and food quality.
Customer service and convenience are also major factors affecting sales. Technological
factors have already changed the way brands served and engaged their customers. They
also affect marketing and advertising of the brands. Social media and online ordering have
changed the style of customer service.
Social media channels became the most important venue for engaging customers. The use
of digital displays and kiosks affected ordering and the costs of labor. Technology overall
has proved to be something indispensable. It has helped brands serve customers through
innovative channels and in innovative ways. Fast food brands have become innovative in
other areas too. They engage their customers on social media and collect feedback
through several channels. Competition in the industry is heavy. This is also a reason that
technology has become important for fast food brands.

Environmental
Sustainability was another important factor to impact the industry globally. Changing
government rules and regulations pressed the brands to adopt a greener approach. Food
related regulations grew stricter. Whether the U.S., UK or Europe, the quality standards
have become stiffer everywhere. The U.S. Food and Drug Administration also tightened its
rules. Targeting children and waste management were some areas where brands were
forced to change their approach. A green approach has helped brands enjoy
improved customer loyalty. McDonalds innovated its approach to recycling and waste
management. Sustainability too became an important requirement for the entire industry.
Some of the brands have even focused on having sustainable and compliant supply chains.

Legal:
Legal aspect of the fast food business has seen important changes happening during the
recent decades. The pressure due to changing legal requirements has risen. Food quality
and nutritive value are the major areas affected by law. Apart from it, packaging and waste
management are also critically impacted. Overall, law imposed new demands on the fast
food industry. The entire sector changed its approach towards marketing and sales. For the
fast food brands, it is important that they comply with the legal changes. Particularly, they
should market responsibly to children under 13. Despite being conscious for their health,
consumers love the flavour. They cannot help their craving for taste. So, there are a few
things about fast food that are never going to change. Fast food will continue to tinkle our
taste buds. Moreover, food is a basic need. This understandable human weakness will
continue to aid the growth of the industry. However, competition is now higher than ever.
So, brands have to focus more on engaging the customers. Some other things too cannot
be ignored any longer. Hygiene, sustainability and compliance are on the top of the list.
Technology will continue to influence fast food chains deeply. Customers like being served
with discounts. No doubt, brands have to focus on how they market themselves.