Lecture 3: Market environment

Question 1

What is the APIC modell?

Answer 1

Stands for Analyse, plan, implement and control

Question 2

What is APIC used for?

Answer 2

This is a framework often used in marketing management to outline the key stages of the marketing process

Question 3

What is PESTLE?

Answer 3

It’s a framework used in marketing that analyses external factors that can impact a organisation or their project.

Question 4

What does PESTLE stand for?

Answer 4

Political: Relates to the interaction between business, society and government. Analys av den politiska miljön är viktig eftersom företag kan upptäcka signaler angående potentiella lagliga och reglerande förändringar inom sina branscher och därmed ha möjlighet att hindra, påverka och ändra den lagstiftningen.

Economic:
Understanding the economic environment helps businesses to anticipate market trends, potential risks or opportunities and consumer behaviour.
Ex: economic growth, inflation, exchange rate, unemployment rate etc can affect purchasing power.

Social: includes societal trends, demographics, cultural aspects, lifestyle changes, attitudes, and values of the population. Examining social factors helps businesses understand consumer preferences, buying behaviors, and societal influences on product demand and marketing strategies.

Technological: Evaluating technological factors enables businesses to adapt to technological changes, leverage new opportunities, enhance operational efficiency, and stay competitive in the market.

Legal:
Businesses need to assess legal factors to ensure compliance and mitigate legal risks.

Ecological: Businesses must assess environmental factors to manage environmental risks, adopt sustainable practices, and respond to increasing environmental awareness among consumers and stakeholders.

But even culture should be included.