Week 2Week 2

Topic 1: Environmental Analysis

MicroenvironmentVarious actors

Close to the company

Affect positively/negatively

Creating for customers

Maintain relationships with customers

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Six Actors:

CompanySuppliersMarketing intermediariesCompetitorsPublicsCustomers

Topic 2: Topic 2: Environmental AnalysisEnvironmental Analysis

1. Company Top management

Functional groups

Internal environment

Decisions

Strategies

Plans

Topic 2: Topic 2: Environmental AnalysisEnvironmental Analysis

2. SuppliersLink to customer value delivery systemProvide resourcesSupply availabilitySupply shortages – cost sales (short run)Supply shortages – reduce customer satisfaction (long run)Suppliers as partnersExample: Apple’s Supplier Management Relationship

Topic 2: Topic 2: Environmental AnalysisEnvironmental Analysis

3. Marketing Intermediaries

Resellers – wholesalers and retailers to buy and resell merchandisePhysical distribution firms – stock and move goods from points of origin to destinationsMarketing services agencies – offers help to the company to target and promote products to right marketsFinancial intermediaries – finance transactions/insurance

Topic 2: Topic 2: Environmental AnalysisEnvironmental Analysis

4. Competitors

Strategic advantage

Positioning

Competitors offerings

Winning strategies

Topic 2: Topic 2: Environmental AnalysisEnvironmental Analysis

5. Publics

Financial PublicsMedia PublicsGovernment PublicsCitizen-action PublicsLocal PublicsGeneral PublicInternal Publics

Topic 2: Topic 2: Environmental AnalysisEnvironmental Analysis

6. CustomersImportant actorsTarget customersStrong relationshipsConsumer marketsBusiness marketsReseller marketsGovernment marketsInternational markets

Topic 2: Topic 2: Environmental AnalysisEnvironmental Analysis

MacroenvironmentSix Forces:

1.Demographic 2.Economic3.Natural4.Technological5.Political and social6.Cultural

Topic 2: Topic 2: Environmental AnalysisEnvironmental Analysis

1. Demographic EnvironmentChanging age structure

Baby BoomersGen XGen Y

Generational MarketingChanging familyGeographic shiftsEducated professional populationIncreasing diversity

Topic 2: Topic 2: Environmental AnalysisEnvironmental Analysis

2. Economic EnvironmentIncome and spending

Consumer spending patterns

Topic 2: Topic 2: Environmental AnalysisEnvironmental Analysis

3. Natural Environment

Shortages of raw materials

Increased pollution

Increased government intervention

Environmental sustainability

Topic 2: Topic 2: Environmental AnalysisEnvironmental Analysis

4. Technological Environment

New technologies

New products

Market opportunities

Research and development

Unsafe products

Topic 2: Topic 2: Environmental AnalysisEnvironmental Analysis

5. Political and social environmentLegislation regulating business

Increasing legislation

Government agency enforcement

Ethics and socially responsible action Socially responsible behaviour

Cause-related marketing

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6. Cultural EnvironmentCultural valuesSecondary cultural values

Views of themselves Views of others Views of organisations Views of society Views of nature Views of the universe

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Responding – Marketing Environment

Companies that make things happen

Companies that watch things happen

Companies that wonder what’s happened

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Thank You!