Not being able to adapt to changes and trends can lead to poor choices and missed opportunities. The strategy considers the market environment and how these elements are shifting to provide… Words 395 - Pages 2 Marketing Assessment Revision and Questions Identify three key areas of the marketing concept? But, if they have purchasing power, they can take prompt decision to buy goods or services they like. Another common practice includes emails sent by marketers that encourage recipients to forward the message to a friend. A marketing department functions in a sales environment that is impacted by factors external to the organization and therefore beyond its control. They are largely out of the control of the business, and often require changes in operating, management, production, and marketing.
It is important to note that the concerns of macro marketing are completely different from the concerns of micro marketing. These are product, placement, promotion and price. International laws, such as trade agreements and tariffs, may affect the chains and available markets for many different companies as well. Technological Environment Technological forces are perhaps the most dramatic forces which are changing rapidly. So marketers should be aware of several trends in the natural environment. With major climate changes occurring due to global warming and with greater environmental awareness this external factor is becoming a significant issue for firms to consider. High population growth rate indicates an enormous increase in labor supply.
So marketers and business management pay close attention to the political forces to judge how government actions which will affect their company. Introduction In this report I will be trying to help and advice marketing manager of Dynamic International Ltd. The letters stand for Political, Economic, Socio-cultural, Technological, Legal and Environmental. The main types of customers are businesses, consumers, government bodies and employees. Companies must discover the best mix of production for the purpose of productive usage of the accessible assets. The legislature decides on a particular course of action.
Political and Legal Factors: The organization should take into consideration the political and legal development relating to market and organization during decision-making process. The important external factors that affect the economic environment of a business are; i Economic Conditions: — The general Economic conditions prevailing in the country viz. Successful marketing campaigns can take your business to a whole new level, helping you generate significant profits than your business did before. Social responsibility also becomes the part of marketing and slowly emerged in marketing literature. Technological Technological macro environment factors can influence how an organization does business.
The legislature decides on a particular course of action. Macro marketing on the other hand is more concerned with marketing and social responsibilities, overall consumer behavior patterns, and market regulation laws, efficiency of marketing systems, socially admirable advertising techniques and social responsibilities. Cultural factors Culture is crucial when it comes to understanding the needs and behaviors of an individual. Microeconomic techniques study the role of individuals and individual firms in the labour market. These factors can be taken into account to get edge over their competitors. The Recession A recession will often occur when inflation grows rapidly; goods become more expensive at a time when consumers have less money to spend. Legal factors are determined by both local and regional and national laws.
For more information about the marketing diploma qualification and studying with Oxford College of Marketing, call Dave Charlton on 0 1865 515 255 or email. McDonald's made trial evaluations in the mid-1990s but in 1996 postponed their plans because of an anti-Western political backlash in Vietnam Sunday Times, 2004. Critical issues include ownership of intellectual property, the role of privacy in a virtual world, use of data and its collection, status of children + digital networks etc. The macro environment is typically segmented for the reasons of analysis. Whereas there are several issues in both fields that make them inter-reliant to each other. What is the Marketing Environment? Extent of control Factors remain beyond the control of marketers. For example, Bangladeshi is far more advanced in comparison to rural areas of India so marketing techniques differ greatly.
They eliminated some electric lighting, made tables from recycled plastic… etc and customers actually supported these changes Daily Finance, 2009. These external factors are not controlled by a firm, but they greatly influence the decision of marketers when developing the marketing strategy. Macro marketing Refers to the external factors or forces which affects the ability of the company to externally and internally serve its customers. Among those concerns listed for micro marketing are individual consumer behavior, pricing decisions and methods, channels of distribution, how firms decide which products to make and market, packing and promotional decisions, methods, and brand image management. Consumer markets B2C are represented by individuals who purchase goods, products or services for their own consumption. If there is any element used in production process or product that is harmful to society should be avoided as it is a social responsibility of an organization. World is becoming small in size due to advanced means of transport and communication facilities.
Causes for this can include an underdeveloped national core network back haul, and access infrastructure, limited spectrum availability or under resourced infrastructure development. A company may survive a black swan incident in a nation like the United States or Japan, but would be hard pressed to do the same in a less developed country where the geopolitical climate is more risky. Labour economics can generally be seen as the application of microeconomic or macroeconomic techniques to the labour market. Even though the marketer has no direct control over the macro external environment, a greater understanding and awareness of these changing market conditions can be achieved through external analysis. These forces include wholesaler, retailers etc. Factors reveal the capabilities of an organization to exploit the opportunities or to combat the threat through its marketing activities.