1. Topic Three: Analyzing the marketing environment

2. Objectives Tracking & Identifying Opportunities in the Macro-environment and micro-environment – Demographic, Economic, Natural, Technological, Political, & Cultural Developments – Company, suppliers, intermediaries, competitors, publics and customers Responding to marketing environment

3. Macro-environmental Forces World trade enablers Asian economic power Rise of trade blocs International monetary crises Use of barter & countertrade Move towards market economies “Global” lifestyles

4. Macro-environmental Forces Opening of “new” markets Emerging transnational firms Cross-border strategic alliances Regional ethnic & religious conflict Global branding

5. Demographic Environment Worldwide Population Growth Population Age Mix Ethnic Markets Household Patterns Educational Groups Geographical Shifts in Population Shift from Mass Market to Micromarkets

6. Economic Environment Income Distribution Subsistence economies Raw-material-exporting economies Industrializing economies Industrial economies Savings, Debt, & Credit Availability Savings, Debt, & Credit Availability

7. Natural Environment Higher Pollution Levels Higher Pollution Levels Increased Costs of Energy Increased Costs of Energy Shortage of Raw Materials Shortage of Raw Materials Changing Role of Government Changing Role of Government

8. Accelerating Pace of Change Accelerating Pace of Change Unlimited Opportunities for Innovation Unlimited Opportunities for Innovation Increased Regulation Increased Regulation Issues in the Technological Environment Issues in the Technological Environment Varying R & D Budgets Varying R & D Budgets

9. Increased Legislation Increased Legislation Special- Interest Groups Special- Interest Groups Political-Legal Environment

10. Social/Cultural Environment OfOrganizationsOfNature OfOneself OfSociety Of the Universe OfOthers Views That Express Values

11. Social/Cultural Environment

12. micro-environment: marketing system Company Suppliers Marketing intermediaries Competitors Publics Customers

13. Responding to marketing environments Successful companies realize that the marketing environments presents opportunities and threats. The major responsibility of marketers is identifying significant changes in the environments and tracking and seeking the opportunities