The Global Marketing Environment Flashcards
What is the marketing environment
Outside forces that effect marketing managements ability to build and Maintain successful relationships with target customers
How many parts is the marketing environment made up of
3
What are the 3 parts of the marketing environment
1 internal environment - the business itself (owners managers employees)
2 layers of external environment -
Microenvironment
Macro environment
What is the micro environment
Actors close to the company that affect its ability to serve its customers
What is the macro environment
Larger societal forces that affect the microenvironment
Factors of micro environments
Customers
Competitors
Suppliers
Intermediaries
Factors of macro environment
Government Economy Technology Environment Globalisation Demographics Laws Sociocultural trends
What does Armstrong and Kotlers (2015) analysis method consist of
Demographic Economic Natural Technological Regulatory Cultural
Why is pickton & Brodericks PRESTCOM analysis so useful
It looks at the external macro environment and takes into consideration some micro factors as well by looking at things such as competition, market and organisation
Looks internal and external
What is the purpose of the 3 additional C’s of PRESTCOM
gives an international dimension
What does the political aspect of PRESTCOM explore
Activities of: Government Special interest, lobbying and pressure groups Trade unions Political parties
What does the regulatory aspect of PRESTCOM explore
Laws (criminal and civil)
Codes of practice (eg advertising standards code)
Customary practice
What does the economic aspect of PRESTCOM explore
Key economic indicators such as Employment levels - disposable income Interest rates Taxes Budget deficit Balance of payments Inflation Trade cycle movements
What does the trade cycle do
Shows how economic growth can fluctuate within different phases in terms of upturns and downturns related to total GDP growth
What does the social aspect of PRESTCOM explore
Population fluctuations
Demographic trends eg more older people
Attitude changes eg shifting concepts of gender
Patterns of behaviour eg working mums / stay at home dads
What does the technological aspect of PRESTCOM explore
Advanced in the technological environment
IT eg latest processors storage decides and software
Communications technology eg superfast broadband
Transport technologies eg electric cars
Production technology
Medical technology
What does the competitive aspect of PRESTCOM explore
Direct competition, secondary completion and indirect competition that are internal influencers on a company.
Direct competitor example
McDonald’s vs Burger King
Secondary competitor example
Skype vs business class travel
Indirect competitors example
Different jobs with a conflicting outcome
Eg Maccies and weight watchers
What does the organisational aspect of PRESTCOM explore
Internal factors that influence the business eg People Reputation Intellectual propert Market research Ethos Financed Agility Collaborators Talents
What is the framework for analysing internal aspect of an organisation
PRIMEFACT
People Reputation Intellectual property Market research Ethos Finances Agility Collaborators Talents
What does the market aspect of PRESTCOM explore
Who our customers may be :
Individuals (b2c)
Organisations (b2b)
What do we need to identify in the market aspect of PRESTCOM
Changes in tastes and fashion
Changes in purchasing behaviour
Changes in product usage
What are the further C’s we need to consider for the international environment
Country eg history and geography and relationships between nations
Currency eg stability
Culture (and subcultures)
Why did pickton and Broderick (2001) develop PRESTCOM
To overcome limitations of PEST or PESTEL analysis which only looks at the macro environment
What does an upturn look like in the trade cycle
Rising consumer and business confidence
Rising sales
Rising prices
More jobs
What does a downturn look like in the trade cycle
Falling consumer and business confidence
Falling sales
Falling prices
Fewer jobs
