PLAN FOR TODAY

Chapter 3
- Attendance Kahoot (Zoo Lake)
- Chapter 3 Lecture
Analyzing the - Chapter 3 Quiz
Marketing - Break
Environment - Meet with Groups; choose best or most innovative idea
- Explain to class (3 minutes)

© 2018 McGraw-Hill Education 3-1 © 2018 McGraw-Hill Education 3-2

ANALYZING THE MARKETING A MARKETING ENVIRONMENT ANALYSIS

ENVIRONMENT! FRAMEWORK

l Important to continuously
monitor both internal &
external environments
l Listen to the consumer
l Businesses need to rethink
how they offer products &
services to consumers

© 2018 McGraw-Hill Education 3-3 © 2018 McGraw-Hill Education 3-4

MICROENVIRONMENTAL
COMPANY CAPABILITIES
FACTORS
Core competency = Satisfy customer
needs

Knowledge, facilities, patents,

technology, people etc.

applied to

Target markets, products etc.

© 2018 McGraw-Hill Education 3-5 © 2018 McGraw-Hill Education 3-6

APPLE VS. SAMSUNG - WHO

COMPETITION
WAS FIRST?
• Identify and analyze
direct and indirect
competitors
• Know strengths &
weaknesses
• Competitive Intelligence
(CI) used to collect and
synthesize info

© 2018 McGraw-Hill Education 3-7 © 2018 McGraw-Hill Education 3-8

 MACROENVIRONMENTAL
CORPORATE PARTNERS
FACTORS
• Firms are part of alliances – few work in isolation
• Align with suppliers, corporate partners etc.

Acronym: CDSTEP
© 2018 McGraw-Hill Education 3-9 © 2018 McGraw-Hill Education 3-10

CULTURE DEMOGRAPHICS
• Culture
• Country Culture vs. Regional Subcultures

Characteristics of human populations & segments used to

identify consumer markets.

© 2018 McGraw-Hill Education 3-11 © 2018 McGraw-Hill Education 3-12

 DEMOGRAPHIC FORCES
GENERATIONAL COHORTS
Tweens

Baby Boomers Generation X

Seniors
Generation Y

Jack Hollingsworth/Getty Images

A group of people of the same generation.

© 2018 McGraw-Hill Education 3-13 © 2018 McGraw-Hill Education Slide 1-14 3-14

INCOME EDUCATION
l Purchasing power is
tied to income
l Statistics Canada tracks Education is related to income, which determines
income spending power
l Many middle-class
families feel the decline
in purchasing power in
recent years

© 2018 McGraw-Hill Education 3-15 © 2018 McGraw-Hill Education 3-16

 GENDER ETHNICITY
• Ethnic composition of Canada is changing
Male/female roles
have been shifting • 1/5 Canadians not born in Canada
• By 2030, population growth will be mainly attributed
to immigration

Marketing has changed

to reflect these shifts

© 2018 McGraw-Hill Education 3-17 © 2018 McGraw-Hill Education 3-18

CANADA’S DIVERSE POPULATION

TECHNOLOGICAL ADVANCES

Technology has impacted every aspect of marketing:

l New products
l New forms of communication
l New retail channels

© 2018 McGraw-Hill Education 3-19 © 2018 McGraw-Hill Education 3-20

 ECONOMIC SITUATION
POLITICAL/LEGAL ENVIRONMENT

Foreign currency
fluctuations
Combined with inflation
and interest rates affect a
firm’s ability to market
goods and services
l Competition Act
l Consumer Packaging and Labelling Act
l Food and Drugs Act
l Access to Information Act
l Patent Act
l North American Free Trade Agreement (NAFTA)

© 2018 McGraw-Hill Education 3-21 © 2018 McGraw-Hill Education 3-22

SOCIAL AND NATURAL TRENDS ENTREPRENEURIAL MARKETING 3.1

– TURNING TRASH INTO CASH
l Shape consumer values
• A compost crusader
l These trends change over time
• Growing City: a service to
l Greener Consumers pick up food scraps from
l Privacy Concerns offices in Vancouver area
l Time-Poor Society • 67% of waste comes from
l Health and Wellness offices & industry
Concerns • In 2015, organic materials
will be banned from
landfills

© 2018 McGraw-Hill Education 3-23 © 2018 McGraw-Hill Education 3-24

 PRIVACY – TERMS OF USE
PRIVACY CONCERNS

l Loss of privacy
l Identity theft
l Do not call
l Do not e-mail

© 2018 McGraw-Hill Education 3-25 © 2018 McGraw-Hill Education 3-26

CONDITIONS YOU AGREED TO:

Allows the app to change the state of network connectivity

“…by placing an order via this GameStation Web site on the
first day of the fourth month of the year 2010 Anno Domini,
you agree to grant us a non-transferable option to claim, for
now and for ever more, your immortal soul. Should We wish
to exercise this option, you agree to surrender your immortal
soul, and any claim you may have on it, within 5 (five)
working days receiving written notification from
gamesation.co.uk (sic) or one of its duly authorized minions
Allows the app to call phone numbers without your intervention. This
may result in unexpected charges or calls. Malicious apps may cost you
money by making calls without your confirmation.
Allows the app to record audio with microphone. This permission allows
the app to record audio at any time without your confirmation.
Allows the app to take pictures and videos with the camera. This
permission allows the app to use the camera at any time

© 2018 McGraw-Hill Education 3-27 © 2018 McGraw-Hill Education 3-28

 PRIVACY – EVALUATION BY SOCIAL CIRCLE
TIME-POOR SOCIETY
In the majority of families, most
parents work

Consumers have many more

choices regarding leisure time

Many consumers multitask

© 2018 McGraw-Hill Education 3-29 © 2018 McGraw-Hill Education 3-30

PLAN FOR TODAY FOR NEXT WEEK

- Attendance Kahoot (Zoo Lake) - Read Chapter Four
- Chapter 3 Lecture - Project Groups Assigned
- Chapter 3 Quiz
- Break
- Meet with Groups; choose best or most innovative idea
- Explain to class (3 minutes)

© 2018 McGraw-Hill Education 3-31 © 2018 McGraw-Hill Education 3-32