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Chapter 6

Scanning the MarketingEnvironmentby

PowerPoint byMilton M. Pressley

University of New Orleans

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Kotler onMarketingToday you

have to runfaster to stayin place.

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Chapter ObjectivesIn this chapter, we focus on twoquestions:

What are the key methods for tracking andidentifying opportunities in themacroenvironment?What are the key demographic, economic,natural, technological, political, and culturaldevelopments?

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Analyzing Needs and Trends in

the MacroenvironmentTrend

FadMegatrends

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Given the definitions for fads,trends, and megatrends presented inthe text, how would you define your online activities? Can you identifyan online trend that is likelyto grow into a megatrend?

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The substantial speedup of internationaltransportation, communication, and financialtransactions, leading to the rapid growth of world trade

and investment, especially tripolar trade (NorthAmerica, Western Europe, Far East)The movement of manufacturing capacity and skills tolower cost countries.

The rising economic power of several Asian countriesin world markets.The rise of trade blocks such as the European Unionand NAFTA signatories.

Identifying and Responding to the

Major Macroenvironment Forces

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The severe debt problems of a number of countries,along with the increasing fragility of the internationalfinancial system.The increasing use of barter and countertrade tosupport international transactions.The move toward market economies in formerlysocialist countries along with rapid privatization ofpublicly owned companies.The rapid dissemination of global lifestyles.The gradual opening of major new markets, namelyChina, India, eastern Europe, the Arab countries, andLatin America.

Identifying and Responding to the

Major Macroenvironment Forces

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The increasing tendency of multinationals to transcendtheir locational and national characteristics andbecome transnational firms.

The increasing number of cross-border corporatestrategic alliances for example, MCI and BritishTelecom, and Texas Instruments and Hitachi.The increasing ethnic and religious conflicts in certain

countries and regions.The growth of global brands in autos, food, clothing,electronics.

Identifying and Responding to the

Major Macroenvironment Forces

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Demographic Environment

Worldwide PopulationGrowthPopulation Age Mix

Ethnic and OtherMarkets

Identifying and Responding to the

Major Macroenvironment Forces

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Can you identify one or morenations whose populations hold the

promise of huge potential marketsfor consumer goods? How havepressures from potential marketersto these untapped consumergroups driven the politicaldiscussion on a nationaland international level?

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Educational GroupsHousehold Patterns

Geographical Shifts inPopulation

From a Mass Market

to Micromarkets

Identifying and Responding to the

Major Macroenvironment Forces

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Economic Environment

Income DistributionSavings, Debt, andCredit Availability

Identifying and Responding to the

Major Macroenvironment Forces

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Natural Environment

Shortage of Raw MaterialsIncreased Energy Cost

Anti-Pollution PressuresChanging Role of Governments

Identifying and Responding to the

Major Macroenvironment Forces

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Technological Environment

Accelerating Pace of ChangeUnlimited Opportunitiesfor Innovation

Identifying and Responding to the

Major Macroenvironment Forces

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Varying R&D Budgets

Increased Regulation of

Technological ChangePolitical-Legal Environment

Legislation Regulating

BusinessGrowth of Special-InterestGroups

Consumerist movement

Identifying and Responding to the

Major Macroenvironment Forces

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Social-CulturalEnvironment

Views of themselves

Views of othersViews of organizations

Views of societyViews of nature

Views of universe

Identifying and Responding to the

Major Macroenvironment Forces

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High Persistence of CoreCultural ValuesExistence of subcultures

Subcultures

Shifts of Secondary CulturalValues Through Time

Identifying and Responding to the

Major Macroenvironment Forces