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3.0 Perform a PESTEL analysis to identify external uncertainties and a SWOT analysis to assess internal strengths and weaknesses. 3.1 PESTEL Analysis K0 B o) T One of the major threats and opportunities nf Cosworth is the instability and volatility of the US and European regulations, especially jn the area of emissions. Stringent standards enforced on emissions increase the necessity for the company to develop improved methodologies for exhaust release while shifis in trade policies esther act as a constraint or a boost in the expansion of markets and supply chamn (Yu and Wang, 3.1.2 Economic The cost structures and demands can be affected due to geopolitical issues and volatility in the exchange rates in the international market for Cosworth. Furthermore, the global economic conditions, as exemplified by disruptions in supply chain management structures, pose the risk of raising operational costs while consumers' demand may turn volatile (Gauge Magazine, 2020). R RET T The increased demand for cars that have increased efficiency, which is eco-friendly without comprising on performance, makes it necessary to provide frequent updates in the propulsion systems. Cosworth needs to respond to the growing demand by consumers who are environmentally conscions or rather sensitive through products that offer the best performance thereby being environmentally sustainable (Cosier, 2024). 3.1.4 Technological As the innovations in electric and automotive vehicles are still active, massive investment in their research and development is required. As for any other business to remain afloat in the market, Cosworth has to invest considerable funds in research and development because it has to respond to the current technological advancements and conform to the expectations that consumers have for state-of-the-art products (Joshs, 2024). 3.1.5 Environmental Consequently, greater awareness of corporate social responsibility and climate change pressures compel Cosworth to consider environmental concerns. The company needs to enhance ity corporate environmental nitiatives which addresses requirements for regulation compliance and more importantly, the consumer demand for green technologies (Emeka-Okoli et al., 2024, pp.065 Legal: The product must therefore conform to international standards and respect Intellectual Property Rights jn order to remain vital in the market Legal and regulatory compliance minimizes analyzable exposure while maintaining the firm's market standing by conforming to international legal standards (Nicholas et al., 2(