PESTEL

Le Specs faces both opportunities and challenges arising from the macro environment. Economic and social factors, such as the rising demand for sustainable products, present opportunities for the brand to innovate and cater to conscious consumers. However, political and legal factors, like global trade policies and compliance with regulations, pose potential risks that must be carefully managed (Statista, 2023).

Technological advancements also offer avenues for growth, particularly in the areas of e-commerce and material innovation (Malaurie-Vignal, 2020)

Political

Exposure to risks from changing global trade policies, tariffs, and import duties.
Shifts in trade agreements (e.g., U.S. and China) could impact pricing and disrupt supply chains (Statista, 2023)
Political instability in key markets may lead to increased operational costs and market access limitations.

Economical

Economic fluctuations (recessions or growth cycles) impact consumer spending on non-essential luxury items like eyewear.
Currency exchange rate fluctuations can affect profit margins, especially when the Australian Dollar changes against other currencies.
Emerging middle-class consumers in developing markets present growth opportunities.

Social

Increasing consumer preference for sustainability and ethical production.
Pressure to enhance transparency in material sourcing and manufacturing practices.
Social media platforms like Instagram and TikTok offer opportunities to engage with Gen-Z and Millennial audiences, but fast-evolving trends pose a challenge.

Technological

E-commerce and augmented reality (AR) advancements offer opportunities for improved online shopping experiences, including virtual try-ons (Hemavathi et al., 2024)
Innovation in materials science could lead to more sustainable and durable eyewear options.
Automated production processes could enhance efficiency and reduce manufacturing costs ( ResearchFDI, 2024).

Environmental

Growing demand for eco-friendly products aligns with Le Specs’ sustainability initiatives like Le Sustain.
Use of recycled and biodegradable materials supports the brand’s eco-conscious positioning (Limjaroenrat et al. 2023)
Climate change and varying sunlight levels could affect eyewear demand, with sunnier regions seeing higher demand for UV-protective glasses.

Legal

Need to comply with varying intellectual property (IP) laws globally to protect designs from imitation (Malaurie-Vignal, 2020)
Adherence to consumer protection laws ensuring UV protection and lens quality is essential for customer trust.
Increased legal requirements for labour practices and supply chain transparency necessitate ethical practices throughout production processes.