PPT 2 Flashcards
What is involved in exploring marketing opportunities?
Scanning the external environment to identify business opportunities that arise from changes in macro-environmental factors like demographics, economics, technology, politics, law, society, and culture.
What are the key macro-environmental factors?
Demographic, Economic, Technological, Political, Legal, Social, and Cultural factors.
What are important demographic factors for marketing?
Age, gender, income distribution, family size, occupation, education levels, population density, and migration.
What are key economic factors that influence business opportunities?
Demand, purchasing power, personal disposable income, inflationary trends, employment indicators, interest rates, and the overall state of the economy.
How does technological growth affect entrepreneurship?
Technological advances, driven by computing, the internet, and telecommunications, increase innovation, reduce product life spans, and create new business opportunities.
What role do political factors play in business?
Political stability, government infrastructure development, clearances, licenses, subsidies, and regulatory mechanisms affect business operations and growth.
How do legal factors influence business?
Business laws include corporate and labor laws, protecting the rights of consumers, companies, and stakeholders, and ensuring fair business practices.
How does social class affect marketing opportunities?
Upper class: High purchasing power, brand-conscious. Middle class: Value-for-money, price-sensitive. Lower class: Weak purchasing power, focuses on volume.
What are important cultural factors in business?
Culture includes values, customs, traditions, rituals, language, and heritage. Cultural shifts happen slowly, but globalization and localization coexist, influencing consumer behavior.
How can entrepreneurs identify business ideas?
By studying demographic, economic, technological, political, legal, social, and cultural factors in the external environment, entrepreneurs can find and analyze marketing opportunities.
