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4-1

The Marketing Environment

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Marketing Environment Marketing Environment- consists of the actorsand forces outside marketing that affect

marketing management’s ability to develop andmaintain successful relationships with its targetcustomers.

Includes:

Microenvironment - forces close to the company thataffect its ability to serve its customers.

Macroenvironment - larger societal forces that affectthe microenvironment.

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Company’s Internal Environment

(Fig. 4-1)

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The Company’s Microenvironment Company’s Internal Environment –

areas inside a company; top management,

affect the marketing department’s plansSuppliers –

provide resources needed to produce goods andservices,

important link in the “value delivery system”

Marketing Intermediaries –help the company to promote, sell, and distribute

its goods to final buyers i.e. resellers

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The Company’s Microenvironment Customers –

five types of markets that purchase a company’sgoods and services

Competitors –those who serve a target market with similarproducts and services,

company must gain strategic advantage againstthese organizations

Publics –group that has an interest in or impact on an

organization's ability to achieve its objectives

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Types of Customer Markets

(Fig. 4-2)

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Types of Publics (Fig. 4-3)

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The Company’s Macroenvironment

(Fig. 4-4)

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Economic Environment Changes in Income

1980’s – consumption

frenzy1990’s – “squeezedconsumer”

2000’s – value marketing

Income DistributionUpper class

Middle class

Working class

Underclass

Changing ConsumerSpending Patterns

Engel’s laws-Consumers atdifferent incomelevels have different

spending patterns

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Natural Environment

Factors Affecting

the

NaturalEnvironment

Shortages of Raw Materials

IncreasedPollution

Increased Government

Intervention

EnvironmentallySustainable

Strategies

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The Company’s Macroenvironment Technological –

Most dramatic force now shaping our destiny.

Political – laws, government agencies, and pressuregroups that influence and limit organizationsand individuals in a given society.

Cultural – institutions and other forces that affect asociety’s basic values, perceptions, preferences,and behaviors.

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IncreasingLegislation

ChangingGovernment Agency

Enforcement

Includes Laws, Government Agencies, Etc. that Influence& Limit Organizations/Individuals in a Given Society

Increased

Emphasis onEthics & Socially

Responsible Actions

Political Environment

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Themselves

Others

Organizations

Society

Nature

The Universe

Cultural Environment

Society’s Major

Cultural Views Are

Expressed in

People’s View of:

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Responding to the

Marketing Environment Environmental Management Perspective

• Taking a proactive approach to managing the

microenvironment and the macroenvironmentby taking aggressive (rather than passive)actions to affect the publics and forces in themarketing environment.

• How? Hire lobbyists , run “advertorials”,press law suits, file complaints, and formagreements.

4..mkt env

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