Marketing Environment: 

Definition: 

          " Marketing management include the actor and forces outside marketing that affect marketing managements ability to build and maintain successful relationship with target customers"

              Key Elements of marketing environment are internal environment, micro environment and macro environment.

 Macro Environment:

             "   Societal forces which influence a company decision making and make a impact on its performance"

Major Factors of Macro environment are Demographics, Economic, Natural, Technological, Political and Cultural.

1.       Demographics Environment:

A demographic environment is a set of factors such as gender. size, density, location, age, gender, race, occupation, and other statistics like culture and religious when consider diverse market. It
is very important because it involves people and people make up a market. Companies use it to identify target markets for specific products or services.

  

       2. Economic Environment

Economic environment consists of factors that affect consumer habit of purchasing and spending patterns for example In Pakistan increasing Currency rate affect the importers and this is
beyond importers control.

        3.Natural Environment:

Natural Environment involves the natural resources that are needed for company or market and it affected by marketing activities such as shortage of raw material, change of government
policies and any other natural phenomena such as pollution and environment sustainable policies.

        4. Technological Environment:

Technological environment refer to external technology factor which have impact on marketers such as internet banking, advance weapons and new vaccines and medicines.

        5.Political Environment:

Political environment consists of laws, government agencies, and pressure groups that influence or limit various organizations and individuals in a given society such as regulatory bodies DRAP,
SECP and PEC.

         6. Cultural Environment:

Cultural environment consists of institutions and other forces that affect a society’s basic values, perceptions, and behaviors. Basic elements of cultural environment which influences are
Language, Tradition, Religion, Economic System and Form of Government.

Marketing Myopia:

          " Marketing myopia is focusing only on existing wants  and losing sight of underlying consumer needs".

Return on Investment: 

       " ROI is net return from a marketing investment divided by the cost of the marketing investment. It provides a measurement of profit generated by investment in marketing activities".  if
ROI> 1 than it means investment is profitable.

Demarketing:

              " Demarketing is marketing to reduce demand temporarily or permanently the aim is not to destroy demand but to reduce or shift it"

Marketing Mix:

            " The Marketing mix is the set of tools the firm uses it to implement its marketing strategies. It include Product, Price, Place, Promotion, People, Process and Physical Evidence."

Customer Equity:

                  "Customer Equity is the total combined customer lifetime values of all of the company’s customers". More Loyal the customer higher the customer equity.

Product/Market Expansion Grid Strategies:

              " The Tool for identifying company growth, opportunities through market penetration, development, Product development or diversification"

1) Market penetration is a growth strategy increasing sales to current market segment  without changing the product.

2) Market development is a growth strategy that identifies and develops new market segment for current product.

3) Product development is a growth strategy that offers new or modified products to existing market segments.

4) Product Diversification is growth strategy for starting up or acquiring businesses outside the company's current product and market.

5) Downsizing is the reduction of the business portfolio by eliminating product or business unit that are not profitable or that no longer fit the company's overall strategy.