What’s Happening? Reebok in the news html html 683/terribleproducts# /terribleproducts# Video Term Projects
Chapter 3 & 4 - The Marketing Environments
The Marketing Environment Consist of the internal (microenvironment) and the external environment (macroenvironment).
Company FOUR BASIC CATEGORIES The Micro-environment
Total organization – many different functional areas Interactive Flexible and creative 5 The microenvironment: Company
Business-to-consumer Business-to-business Business –to-Institutional 6 The microenvironment: Customers
The microenvironment: Types of Competition Four general types of competition: Price Quality Time (particular important in services) Location
The microenvironment: Competition Forces that impact an industry’s competitive environment) Porter’s Competitive Forces: 1. Supplier power 2. Threat of substitutes 3. Degree of rivalry 4. Buying power of the customer 5. Barriers to entry
Alliances Networks Informal partnerships Suppliers Virtual corporations 9 The microenvironment: Collaborators
Company UPSTREAM DOWNSTREAM PRIMARY ACTIVITIES Raw Materials Supplier Components Supplier Service Supplier Transportation company Wholesaler Retailer CustomersCustomers The Value Chain – Exhibit 3.2
Macroenvironment 1. Physical Environment 2. Sociocultural Forces 3. Demographic Forces 4. Science and Technology 5. Economic Forces 6. Political and Legal Forces Consists of SIX broad categories
Exhibit 4-1: Macroenvironment influences on the marketing mix
Macroenvironment: Demography The Canadian Population Canadian population growth attributed to immigration Migration and Urbanization 1. “Golden Horseshoe” – Ontario 2. Montreal and the adjacent regions 3. B.C.’s lower mainland and southern Vancouver Island 4. Calgary-Edmonton Corridor 51% of Canadians live in one of these four areas; 80% of Canadians are urban dwellers
Profile of the “Average Canadian Consumer” The Changing Canadian Household Single-Person and Single- Parent Households Working Women Family and Household Income A Multi-cultural Population Macroenvironment: Demography
Case: Zoom Airlines Refer to pages 106 – 108 of your textbook.