2011-2012

UNIVERSITA’ DEGLI STUDI DI TRIESTE MARKETING FINAL PRESENTATION

ANALYSIS OF THE TURKISH MACRO-ENVIRONMENT

CONTENT:

THE MACRO ENVIRONMENT ANALYSIS (PEST ANALYSIS) HOW TO DO MACRO ENVIRONMENT ANALYSIS? TYPES OF MACRO ENVIRONMENT ANALYSIS

POLITICAL FACTORS TABLE 1: Major Issues of Factors of the Macro Environmental Analysis

ECONOMIC FACTORS SOCIAL – CULTUREL FACTORS

TABLE 2 :  Quarterly Population Growth Rate in Turkey TABLE 3 : Population by Urban - Rural Distribution in Turkey

TECHNOLOGICAL FACTORS EXAMPLE OF PEST ANALYSIS

Pest Analysis of Pepsi

THE MACRO ENVIRONMENT ANALYSIS( PEST ANALYSIS )

The macro environmental analysis is the first step in creating the Environmental Analysis. The macro environment

examines the general business climate as it relates to the organization.

The macro environment is primarily concerned with major issues and upcoming changes in the environment. The acronym for the macro analysis is “PEST.” The four areas of interest are Political; Economic; Social-cultural and Technological.

HOW TO DO MACRO ENVIRONMENT ANALYSIS?

In terms of assessing and analyzing the industry, it important to consider the following :

What industry does your business fall under? For example; mining industry, motor vehicle industry, textile industry, agricultural industry, pulp and paper industry and many more.

Do you have an understanding of where the industry has come from (past), where the industry is today (present), and where the industry is going (future)?

What is the size of your industry? Is the industry growing or declining? What are the key trends in the industry? Who are the key players in the industry? What are the risks associated with the industry? What are the key success factors? What are the barriers to entry? Do you have an understanding of the value chain? Consider the entire value

chain from the Manufacturer to the final consumer.

TYPES OF MACRO ENVIRONMENT ANALYSIS Political Taxation policy Trade regulations  Government stability Unemployment policy Goverrnment legislation Government policies Government stance on

competition  Relevant laws International relations

Social- Culturel Age distribution  Education level  Income level  Population growth  Life expectancies  Religion

  Economic The general economicsituation in the world International economic organizations Business cycles Inflation and exchanges rates Economic growth and changes in GNP and GDP Interest rates Tax rates Resources of money and credit, insecurity

status The existence of labor force Energy existence and cost Unemployment levels

  Technological Technological changes  Innovations  Speed of technonogical changes  Research and development expenditures Improved communication and knowledge

transfer 

POLITIC FACTORS :

The macro environment analysis will identify changes in the position politicians take on issues. A current example is a shift towards greener policies in the developed world. Some of political factors are as follows :

Taxation policy Trade regulations Government stability Unemployment policy Goverrnment legislation Government policies Government stance on competition Relevant laws International relations

ECONOMIC FACTORS : The macro economic environment analysis will identify

trends such as changes in personal disposable income, interest rates, inflation and unemployment rates. Typically we encounter the economic factors are as follows :

The general economic situation in the world International economic organizations Business cycles Inflation and exchanges rates Economic growth and changes in GNP and GDP Interest rates Tax rates Resources of money and credit, insecurity status The existence of labor force Energy existence and cost Unemployment levels

SOCIAL - CULTURAL FACTORS :

The macro social-cultural environment analysis will identify trends in societies beliefs, behaviors, values and norms. Such as the number of workers, attitudes towards global warming, make up of the family structure.  Some of the social – cultural factors are as follows :

Age distribution Education level Income level Population growth Life expectancies Religion

QUARTERLY POPULATİON GROWTH RATE İN TURKEY

Periods Population Growth Rates

1955-1960 28,531960-1965 24,621965-1970 25,191970-1975 25,011975-1980 20,651980-1985 24,881985-1990 21,711990-2000 18,3

POPULATİON BY URBAN-RURAL DİSTRİBUTİON İN TURKEY

Years

Population of Urban Population of Rural

Number (million) % Number (million) %

1955 6,927 28,8 17,137 71,2

1960 8,86 31,9 18,695 68,1

1965 10,806 34,4 20,585 65,6

1970 13,691 38,5 21,914 61,5

1975 16,869 41,8 23,479 58,2

1980 19,645 43,9 25,092 56,1

1985 26,866 53 23,799 47

1990 33,326 59 23,147 41

1997 40,882 65 21,983 35

TECHNOLOGICAL FACTORS :

The macro technological environment analysis will identify changes in the application of technology. A current example is a shift towards online transactions and in some areas a shift away from online transactions. There are some technological factors that affect macro environment analysis are as follows :

Technological changes Innovations New or improved channels Speed of technonogical changes Research and development expenditures Improved communication and knowledge

transfer etc.

EXAMPLE OF PEST ANALYSIS

PEST ANALYSIS OF PEPSI :

The PEST analysis method has been successfully applied by Pepsi, which has obtained economic advantage in its industry. The PEST analysis method and examples specific to Pepsi are seen in the following factors:

Political: The manufacture, delivery, and use of numerous Pepsi products are subject to many federal regulations, like the Food, Drug and Cosmetic Act. The business is also governed by government and foreign rules. The international business is subjected to the political stability.

Economic: The products of Pepsi are influenced by the raw material yield being used in the soft drinks, juices, etc. All distribution is affected by the cost of fuel. Operations in international markets involve the study of unpredictable changes in foreign exchange rate. The economic impacts of such movements are serious because these affect the growth. Pepsi is also subjected to availability of energy, supply of money, business cycles, etc.

Social - Culturel: Lifestyle has great influence on the use of Pepsi products, and their advertisements are designed accordingly. Introduction of Pepsi products in the international market requires an in depth study of the local social structure.

Technology: Pepsi is influenced by the modern manufacturing techniques applicable to their business divisions of soft drinks, juices, and snack food. Pepsi has to focus on the latest distribution techniques, and other technological advances in their industry.

THANKS FOR YOUR ATTENTION by ASLI BOZKURT E 79 000 114