How do you know when it’s time to pivot?

Joy E. Mason
Jul 29
2 min read

Change is the only constant in business; nowadays, it feels like it is happening weekly, if not daily. In addition, many of us have been on an emotional rollercoaster that doesn’t seem to end.

Through the shifting ground and emotional angst, we find ourselves asking,” How do you know when to pivot? The answer may lie in PESTLE Analysis—a powerful tool that helps you identify significant opportunities and threats in a changing world.

At Optimist Indy, we believe the best businesses don’t just react to change—they anticipate it. It's highly unlikely that businesses could have expected everything we're seeing today, but if they had been vigilant in canvassing the landscape some changes could have been anticipated.

Moving forward, here’s how you can canvas the landscape, assess the risk, and pivot thoughtfully. Do a PESTLE Analysis.

Wide angle view of a city skyline with tall buildings and a sunset

Why PESTLE Matters Now

The business landscape is shifting faster than ever:

Political unrest affects supply chains
New technologies disrupt entire industries overnight
Social and demographic changes are impacting everything!

PESTLE provides a 360-degree view of these changes, enabling you to adjust and pivot smarter—not just faster.

What is PESTLE Analysis?

PESTLE stands for six key factors that impact every business:

1. Political – Government policies, trade laws, regulations

2. Economic – Inflation, unemployment, consumer spending

3. Social – Demographics, culture, lifestyle trends

4. Technological – AI, automation, new tools

5. Legal – Employment laws, safety regulations

6. Environmental – Climate policies, sustainability demands

By analyzing these areas, you can spot risks early and find hidden opportunities.

Eye-level view of empty retail space with a “For Rent” sign

How to Use PESTLE to Pivot Your Business

Step 1: For Each PESTEL Category, Ask Key Questions

Step 2: Identify Threats & Opportunities

Step 3: Score and Prioritize the Risk Step 4: Validate Your Analysis with Key Constituents

Step 5: Plan the Pivot

Real World Pivot Examples:

Netflix switched from DVDs to streaming by spotting tech trends early.

Close-up view of a sustainable product displayed on a shelf

Local Businesses used e-commerce when foot traffic dropped during COVID.

Your Next Step: Future-Proof Your Business*

Don’t wait for change to force your hand—get ahead of it.

Try this today:

Pick one PESTLE factor (e.g., Technological).
Research one trend affecting your industry.
Brainstorm one small pivot (e.g., add AI chat to your website).

CALL TO ACTION:

What’s the biggest external change impacting your business right now? Share below—we’ll help you navigate it!

Optimist Indy – See Change Coming. Stay Ahead of It.

www.optimistindy.com