chapter 3 Flashcards
define marketing environment
factors+forces outside marketing affecting management inside company+customer relationships
define microenviorment
actors close to company affecting ability to serve company
define macroenviorment
large societal factors affecting microenviorment
Eg. demographics, natural, technological, political and cultural forces
Actors in the microenvironment
- the company
- suppliers
- marketing intermediaries
- competitors
- publics
- customers
- THE COMPANY components
- top management
- finance
- R&D
- IT
- Human reosurces
- purchasing
- operations
- accounting
- THE SUPPLIERS
- provide resources to produce goods/services
- Marketing INTERMEDIARIES
- help companies sell, distribute or find buyers
- can be: resellers, marketing agencies, physical distribution firms or financial itermediaries
- COMPETITORS
- gain strategic adv by posititioning their offering strongly against competitors.
- Publics
Any group that has an actual or potential interest in or impact on an organisation’s ability to achieve its objectives
1.Financial publics
2. Media publics
3. Government publics
4. Citizen-action publics
5. Local publics
- CUSTOMERS
- serve target customers and create strong relationships with them
define demography
study of human pop,, density, location, gender, race
Demographic environment
nvolves people, and people make up markets
Demographic trends
include changing age and family structures,
geographic population shifts, educational characteristics, and population
diversity.
Macro E: 1) DEMOGRAPHIC
- baby boomers
- gen x
- millennials
- gen z
- gen alpha
*generational marketing–> segmenting people my lifestyle: eg disabled people, lgbtq
Macro E: 2) ECONOMIC environment
- value marketing–> offering financially cautious buyers greater value+quality at fair price
Macro E: 3) Natural environment
- physical environment +natural resources
eg: increased pollution, increased gov intervention, environmental stability
Macro E: 4) technological enviorment
most dramatic force changing marketplace
eg AI
Macro E: 5) Political and social environment
- legislation regulating business intentions to protect:
- companies from each other
- consumers from unfair practices
—> increased ethics
—> social responsibility
–> cause-related marketing
Macro E: 6) cultural environment
- forces affecting society basic values and behaviour
Views on responding on the marketing environment
- uncontrollable–> react+adapt forces
- proactive–> take agressive action
- reactive–> watch and react to forces in environment.
PESTEL
- political, economic and social, technological and environmental studies the key external factors
