Explain in details the following microenvironment factors: Marketing intermediaries, competitors and consumers from the Microenvironment factors.
6-Customers: Company studies 5 types of customer markets: a-Consumer markets: Individuals & households that buy Goods and Services for personal consumption. b-Business markets: buy Goods and Services for further processing or for use in their production process. c-Reseller markets: buy Goods and Services to resell at a profit.
d-Government markets: Governments agencies that buy Goods and Services to produce public services or transfer Goods and Services to others who need them.
e-International markets consist of buyers in other countries, including consumers, producers, resellers, & governments.
3.Responding to the Marketing Environment: Views on Responding.
1-Uncontrollable: react and adapt to forces in the environment.
2-Proactive: aggressive actions to affect forces in the environment.
3-reactive: watching and reacting to forces in the environment.
4.Macroenvironment? is the larger societal forces that affect the whole microenvironment – demographic, economic, natural, technological, political, and cultural forces. The macroenvironment forces
1-Demographic Environment: is the study of human populations in terms of size and age. Changes in the world demographic environment have major implications for business.
2-Economic Environment: consists of factors that affect consumer purchasing power and spending patterns. Subsistence economies (consume most of their own agricultural and industrial output), Industrial economies (constitute rich markets for many different kinds of goods), changes in Income.
3-Natural environment: involves the natural resources that are needed as inputs by marketers or that are affected by marketing activities. The first involves growing shortages of raw materials. The second environmental trend is the increased cost of energy, the third trend is increased pollution and climate change and the fourth trend is increased government intervention in natural resource management.
4-Technological environment: includes those forces that create new technologies, creating new product and market opportunities. There are several trends affecting the technological environment including fast pace of technological change and increased regulation.
5-Political environment: consists of laws, government agencies, and pressure groups that influence or limit various organizations and individuals in a given society such as business legislations and social responsible actions. Enlightened companies encourage their managers to ‘do the right thing.
6-Cultural environment: is made up of institutions and other forces that affect a society’s basic values, perceptions, preferences, and behaviors. There are several characteristics that affect marketing decision making such as core and secondary beliefs and values.