Chapter 2: Marketing Environment PDF

Chapter 2: Marketing environment 1/2/2023 704024/701022 - Chapter 2 1  Objective Understand the elements of the micro and macro environment Describe the environmental forces that affect...

Chapter 2: Marketing environment 1/2/2023 704024/701022 - Chapter 2 1  Objective Understand the elements of the micro and macro environment Describe the environmental forces that affect the company’s ability to serve its customers. Discuss how companies can react to the marketing environment. 1/2/2023 704024/701022 - Chapter 2 2  Content 1 Marketing environment defined 2 Macro environment 3 Micro environment 4 Reaction of the company 1/2/2023 704024/701022 - Chapter 2 3 Part 1: Marketing environment defined 1/2/2023 704024/701022 - Chapter 2 4  Concept The marketing environment includes the actors and forces outside marketing that affect marketing management’s ability to build and maintain successful relationships with target customers 1/2/2023 704024/701022 - Chapter 2 5  Characteristics and importance Characteristics: The marketing environment is always changing Create opportunities or challenges for the business; The impact is different depend on industry and company. 1/2/2023 704024/701022 - Chapter 2 6  Characteristics and importance The importance: Capture changes in the environment; Detect market opportunities and challenges; Make the right strategic decisions to take advantage of opportunities, risk prevention,... 1/2/2023 704024/701022 - Chapter 2 7 Part 2: Macroenvironment 1/2/2023 704024/701022 - Chapter 2 8  The Macroenvironment Demograp Economic hic Cultural Macroenvi Natural ronment Technologi Political cal 1/2/2023 704024/701022 - Chapter 2 9  Demographic Environment People is the main factor creat the market 1/2/2023 704024/701022 - Chapter 2 10  Demographic Environment Demography is the study of human populations-- size, density, location, age, gender, race, occupation, and other statistics. Demographic environment involves people, and people make up markets. Demographic trends include changing age and family structures, geographic population shifts, educational characteristics, and population diversity. 1/2/2023 704024/701022 - Chapter 2 11  Demographic Environment – Baby Boomers - born 1946 to 1964 Generation X - born between 1965 and 1976 Millennials- born between 1977 and 2000 Generation Z – born after 2000 1/2/2023 704024/701022 - Chapter 2 12  Demographic Environment Generational marketing is important in segmenting people by lifestyle or life stage instead of age. 1/2/2023 704024/701022 - Chapter 2 13  Demographic Environment Changing American family Changes in the workforce 1/2/2023 704024/701022 - Chapter 2 14  Demographic Environment Markets are becoming more diverse. – International – National Diversity also includes: – Ethnicity – Gay and lesbian – Disabled 1/2/2023 704024/701022 - Chapter 2 15  Demographic Environment Geographic Shifts in Population Growth in U.S. West and South and decline in Midwest and Northeast Change in where people work – Telecommuting – Home office 1/2/2023 704024/701022 - Chapter 2 16  Economic Environment The economic environment consists of factors that affect consumer purchasing power and spending patterns. Industrial economies are richer markets. Subsistence economies consume most of their own agriculture and industrial output. Developing economies also offer outstanding marketing opportunities. 1/2/2023 704024/701022 - Chapter 2 17  Economic Environment 1/2/2023 704024/701022 - Chapter 2 18  Economic Environment Changes in Consumer Spending Value marketing involves offering financially cautious buyers greater value—the right combination of quality and service at a fair price. 1/2/2023 704024/701022 - Chapter 2 19  Income Distribution Over the past several decades, the rich have grown richer, the middle class has shrunk, and the poor have remained poor. 1/2/2023 704024/701022 - Chapter 2 20  The Natural Environment The natural environment is the physical environment and the natural resources that are needed as inputs by marketers or that are affected by marketing activities. 1/2/2023 704024/701022 - Chapter 2 21  Natural Environment Trends in the Natural Environment – Growing shortages of raw materials – Increased pollution – Increased government intervention – Developing strategies that support environmental sustainability 1/2/2023 704024/701022 - Chapter 2 22  Natural Environment Environmental sustainability involves developing strategies and practices that create a world economy that the planet can support indefinitely. 1/2/2023 704024/701022 - Chapter 2 23  Technological Environment Most dramatic force in changing the marketplace New products, opportunities Concern for the safety of new products 1/2/2023 704024/701022 - Chapter 2 24  Political and Social Environment Legislation regulating business is intended to protect – companies from each other – consumers from unfair business practices – the interests of society against unrestrained business behavior 1/2/2023 704024/701022 - Chapter 2 25  Political and Social Environment – Increased emphasis on ethics – Socially responsible behavior – Cause- related marketing 1/2/2023 704024/701022 - Chapter 2 26  Cultural Environment The cultural environment consists of institutions and other forces that affect a society’s basic values, perceptions, and behaviors. 1/2/2023 704024/701022 - Chapter 2 27  The Persistence of Cultural Values Core beliefs and values are persistent and are passed on from parents to children and are reinforced by schools, churches, businesses, and government. Secondary beliefs and values are more open to change and include people’s views of themselves, others, organizations, society, nature, and the universe. 1/2/2023 704024/701022 - Chapter 2 28 Shifts in Secondary Cultural Values of People’s Views Themselves Others Organizations Society Nature Universe 1/2/2023 704024/701022 - Chapter 2 29 Part 3: Microenvironment 1/2/2023 704024/701022 - Chapter 2 30  Microenvironment Company Supplier Marketing Customer Microenvi Intermediarie ronment s Publics Competitor 1/2/2023 704024/701022 - Chapter 2 31  The company 1/2/2023 704024/701022 - Chapter 2 32  The company 1/2/2023 704024/701022 - Chapter 2 33  The Company In designing marketing plans, marketing management takes other company groups into account. Top management Finance R&D Purchasing Operations Accounting 1/2/2023 704024/701022 - Chapter 2 34  Suppliers Provide the resources to produce goods and services Treat as partners to provide customer value 1/2/2023 704024/701022 - Chapter 2 35  Marketing Intermediaries Marketing intermediaries are firms that help the company to promote, sell, and distribute its goods to final buyers. 1/2/2023 704024/701022 - Chapter 2 36  Marketing Intermediaries Physical Resellers distribution firms Marketing Financial services intermediaries agencies 1/2/2023 704024/701022 - Chapter 2 37  Competitors Firms must gain strategic advantage by positioning their offerings strongly against competitors’ offerings in the minds of consumers. 1/2/2023 704024/701022 - Chapter 2 38  Publics Any group that has an actual or potential interest in or impact on an organization’s ability to achieve its objectives: Financial publics Media publics Government publics Citizen-action publics Local publics General public Internal publics 1/2/2023 704024/701022 - Chapter 2 39  Customers Consumer markets Business markets Reseller markets Government markets International markets 1/2/2023 704024/701022 - Chapter 2 40 Part 4: Responding to the Marketing Environment 1/2/2023 704024/701022 - Chapter 2 41  Views on Responding Uncontrollable Proactive Reactive React and Take Watch and adapt to aggressive react to forces forces in the actions to in the environment affect forces environment in the environment 1/2/2023 704024/701022 - Chapter 2 42  Key terms Marketing Environment Micro environment Macro environment 1/2/2023 704024/701022 - Chapter 2 43  Key terms Economic Political/ Legal Socio - Cultural Natural environment Technology Demographic 1/2/2023 704024/701022 - Chapter 2 44  Key terms The company Customers Competitors Suppliers Marketing intermediaries Publics 1/2/2023 704024/701022 - Chapter 2 45  Q&A 1/2/2023 704024/701022 - Chapter 2 46