ENVIRONMENTAL CONCERN FOR MARKETING.pptx

8/10/2019 ENVIRONMENTAL CONCERN FOR MARKETING.pptx

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ENVIRONMENTCONCERNS IN

MARKETINGMANAGEMENT


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Environmental management

Attainment of organizational objectives by

predicting and influencing thecompetitive,

political-legal, economic, technological, and

social- cultural environments.

Firms often create strategic alliances to

combine resources and

capital to compete more effectively.


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THE COMPETITIVE ENVIRONMENT

Competitive environmentInteractive process that occurs in themarketplace among marketers of directly competitive products,marketers of products that can be substituted for one another, andmarketers competing for the consumers purchasing power.

Companies with a monopoly usually accept regulation in

exchange for the exclusive right to serve a market segment. OligarchyLimited number of sellers in an industry with high start-up costs.

TYPES OF COMPETITION

Directamong marketers of similar products.Indirectinvolves products that are easily substituted for eachother.

Competition among all firms that compete for consumerspurchases.


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DEVELOPING A COMPETITIVE STRATEGY

Should we compete?

Depends on firms resources, objectives, and expectedprofit potential.

If so, in what markets should we compete?

Allocate firms limited resources to the areas of greatest

opportunity.

How should we compete?

Includes product, promotion, distribution, and pricingdecisions that

maximize competitive advantage.

TIME-BASED COMPETITION

Strategy of developing and distributing goods more quicklythan competitors.


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GOVERNMENT REGULATORY AGENCIES

Federal Trade Commission has broadest regulatorypowers over marketing.

Others include Consumer Product SafetyCommission, the Federal Power Commission, the EPA,and FDA.

OTHER REGULATORY FORCES

Consumer interest organizations.

Self-regulatory groups.

CONTROLLING THE POLITICAL-LEGAL ENVIRONMENT

Complying with laws and regulations servescustomers and avoids legal problems.

Influencing the outcome of legislation through

lobbying or boycotts.
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Unemploymentproportion of people

actively seeking work who do not have jobs.

Incomemany marketers focus on

discretionary income, amount of money

people have to spend after buying

necessities.

Resource availabilityshortages can result

from lack of raw materials, component parts,

and energy, or labor.

DemarketingProcess of reducing consumer

demand for a good or service to a level that

the firm can supply.


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Changes in consumer and business

buying habits, in exchange rates, in labor

costs, and other factors around the world

influence the decisions marketers make.

Global political changes affect

international marketplace.

THE INTERNATIONAL ECONOMIC ENVIRONMENT


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THE TECHNOLOGICAL ENVIRONMENT

Technological environmentApplication tomarketing of knowledge based on

discoveries in science, inventions, and

innovations.

Government and not-for-profits often

contribute to research and development,

which can be very costly.

APPLYING TECHNOLOGY

Marketers monitor new technology to gain

competitive edge.


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THE SOCIAL-CULTURAL ENVIRONMENT

Social-cultural environmentComponent of the

marketing environment consisting of the relationshipbetween the marketer, society, and culture.

Increasing importance of cultural diversity andsubmarkets with unique values, preferences, and

behaviors.

CONSUMERISM

ConsumerismSocial force within the environment that

aids and protects the consumer by exerting legal, moral,and economic pressures on business and government.

Basic consumer rights: to choose freely, to be informed,to be heard, and to be safe.


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HOPE U ALLUNDERSTOO

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ENVIRONMENTAL CONCERN FOR MARKETING.pptx

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