Market

and
Environment

Marketing Environment
The

market environment is a
marketing term and refers to
factors and forces that affect a
firms ability to build and
maintain successful
relationships with customers

Components of Marketing
Environment
Internal
Environment
Micro
Environment
Macro
Environment

Micro Environment
The

micro-environment affects the

organization directly. It refers to the
environment that most closely linked to the
firm
This

environment is also not under the full

control of business.
The

business can influence this

environment.

Micro Environment
Custome
r

Public

Supplier
Componen
Componen
ts
ts

Marketing
Marketing
Intermediari
Intermediari
es
es

Competito
Competito
rr

Customer
Customers

are the
actual buyer of our
goods and services.
The

company must
study its customer
markets closely since
each market has its
own special
characteristics.

Customer Market
Consumer
Market

individuals
individuals and
and households
households that
that buy
buy goods
goods and
and
services for
for personal
personal consumption
consumption
services

Business Market

buy
buy goods
goods and
and services
services for
for further
further processing
processing or
or
for use
use in
in their
their production
production process
process
for

Reseller Market

buy
buy goods
goods and
and services
services in
in order
order to
to resell
resell them
them at
at
a profit
profit
a

Government
Market

agencies
agencies that
that buy
buy goods
goods and
and services
services in
in order
order to
to
produce public
public services
services or
or transfer
transfer them
them to
to
produce
those that
that need
need them
them
those

International
Market

buyers
buyers of
of all
all types
types in
in foreign
foreign countries
countries

Suppliers
Suppliers

are firms and

individuals that provide
the resources needed
by the company.

They

are an important
link in the companys
overall customer value
delivery system.

Suppliers

Timely

Price

Qualit
y

Right
Produc
t

Point of Consideration

Availability
Price of key inputs

Competitors
Conducting

competitor analysis
is critical for
success of the firm
A

marketer must
monitor its
competitors
offerings to create
strategic advantage

Marketing Intermediaries
Marketing

intermediaries are
firms that help the
company to
promote, sell, and
distribute its
goods to final
buyers.

Marketing
Marketing
Intermediari
Intermediari
es
Reseller
Reseller

Physical
Physical
distribution
distribution
firms
firms
Marketing
Marketing
service
service
agencies
agencies
Financial
Financial
intermediar
intermediar
ies
ies

Marketing Intermediaries
Reseller
They are those who hold and sell companys
product.
Wholesaler and retailer.

Physical Distribution Firm

They help the company to stock and move goods
from their points of origin to their destinations.
Transportation and warehousing.

Contd
Marketing Service Agencies
They help the company target and promote its
products.
Advertising agencies. Media agency, marketing
research firms, etc.

Financial Intermediaries
They help finance transactions and insure against
risks.
Banks, credit companies, insurance company, ect.

Public
A

public is any group that has an

actual or potential interest in or
impact on an organizations
ability to achieve its objectives.

company should prepare a

marketing plan for all of their
major publics.

Public Group
Financial
Financial

Internal
Internal

Citizen
Citizen

Publi
c
Grou
p

General
General

Governme
Governme
nt
nt

Local
Local

Media
Media

VIDEO PRESENTATION

MARKET AND
ENVIRONMENT

Pre assessment
DIRECTIONS: Choose the letter
of the best answer. Write your
answer on a separate sheet of
paper

1. It is generated by
examining the goods and
services sold in the
community.
A. business creation
B. business pricing
C. business concept
D. business idea

2. It is a process of making
new products which will be
sold to the customers.
A. product analysis
B. product development
C. product
conceptualization
D. product implementation

3. These are luxuries, advantages

and desires that every individual
considers beyond necessary.
A. wants
B. requirements
C. desires
D. needs

4. It is a factor or consideration
presented by a seller as there as on
that a product or service is different
from and better than that of the
competition.
A. unique selling plan
B. unique selling proposition
C. unique pricing policy
D. finding value-added

5. A stage in which the needs of

the target market are identified,

reviewed, and evaluated.
A. concept development
B. project development
C. economic analysis
D. refine specification

6. It is the introduction of new

ideas to make the product and
services more attractive and
saleable to the target
customers.
A. new idea
B. product development
C. creativity
D. innovation

7. It is a managerial tool used to

assess the environment and to
gather important information that
can be used for strategic
planning.
A. scanning
B. WOTS Analysis
C. SWOT Analysis
D. survey analysis

8. It is creating names, symbol,

or designs that identifies and
differentiates a product from
the other products.
A. product naming
B. branding
C. unique selling proposition
D. tagline

9. It is a meaningful and
unforgettable statement that
captures the essence of the brand.
A. product naming
B. branding
C. unique selling proposition
D. tagline

10. These are things that people

cannot live without.
A. wants
B. desires
C. requirements
D. needs

Product Development
Process

of making a new
product to be sold by a business
or enterprise to its customers
May involve modification of an
existing product or its
presentation, or formulation of
an entirely new product that
satisfies a newly-defined
customers needs, wants and/or

Development
Collectively

to the entire
process of identifying a market
opportunity, creating a product
to appeal to the identified
market, and testing, modifying,
and refining the product until it
becomes ready for production

For

whom are the

product/services aimed at?
What benefit will the customers
expect from product/service?
How will the product/service
differ from the existing brand?
From its competitor
These questions include the following:

Needs in business are the

important things that an
individual cannot live
without in a society.
1.

basic commodities for

consumption,
2. clothing and other personal
belongings,
3. shelter, sanitation and health
and
4. education.

Identify
Customer
Needs

Establish
Target
Specifications

Generate
Product
Concepts

Analyze
Competitive
Products

Select a
Product
Concept

Refine
Specifications

Perform
Economic
Analysis

Plan
Remaining
Development
Project

Concept
Development

Figure 3: Stages of Concept Development

The process of product development follows the following stages:
1. Identify customer needs: Using survey forms, interviews, researches,
focus group discussions, and observations, an entrepreneur can easily

Finding Value
People

buy for a reason

Value proposition
believable collection of the most
persuasive reasons why people
should notice you and take the
action youre asking for. It is
what gets people moving, what
makes people spend for your
product or service.

Innovation
the

introduction of something
new in your product or service.
new idea, a new method, or a
new device.
Some of the possible innovations
for your products are change of
packaging, improvement of taste,
color, size, shape, and perhaps
price.

Unique Selling Proposition (USP)

the

factor or consideration
presented by a seller as the
reason that one product or service
is different from and better than
that of the competition.
requires careful analysis of other
businesses' ads and marketing
messages

Here's how to discover your USP and how to use

it to increase your sales and profit:

Use empathy:
Put yourself in the shoes of your
customers
Identify customers desires.
It is very important for you to
understand and find out what drives
and motivates your customers to
buy your product or service

Here are some basic yet very

important considerations that
can be used to generate possible
ideas for business:
Examine

existing goods and

services.
Examine the present and future
needs
Examine how the needs are
being satisfied.
Examine the available resources.
Read magazines, news articles,
and other publications on new

Key Concepts of Selecting a

Business Idea
How much capital is needed to put up
the business?
Where should the business be located?
How big is the demand for the
product? Do many people need this
product and will continue to need it for
a long time?
How is the demand met? Who are
processing the products to meet the
needs (competition or demand)? How
much of the need is now being met

Key Concepts of Selecting a

Business Idea
Do

you have the background and

experiences needed to run this
particular business?
Will the business be legal and not
against any existing or foreseeable
government regulation?
Is the business in line with your
interest and expertise?

BRANDING
A

marketing practice of creating a

name, a symbol or design that identifies
and differentiates product or services
from the rest.
Your brand is derived from who you are,
who you want to be and what people
perceive you to be.
Branding is one of the most important
aspects in any business.
An effective brand strategy gives you a
major edge in increasingly competitive

A good product can:

-

deliver message clearly,

confirm credibility,
connect to target prospect,
motivate buyers, and
concretize user loyalty

Here are simple tips to publicize

your brand:

Develop a tagline.
Design a logo
Write a brand message.
Sustain a brand quality.
Practice consistency.

How to conduct SWOT Analysis:

Be

realistic about the strengths

and weaknesses of your business
when conducting SWOT Analysis.

SWOT

Analysis should
distinguish between where your
business is today, and where it
can be in the future.
SWOT Analysis should always be

How to conduct SWOT Analysis:

Always apply SWOT Analysis

in relation to your competition,
i.e. better than or worse than
your competition.
Keep your SWOT Analysis
short and simple. Avoid
complexity and over analysis.
SWOT Analysis is subjective.

Task 5: Product
Conceptualization
Directions:

In a separate sheet of
paper or in your notebook.
Develop your own concept of your
product or service by using the
figures on this page. Use bullets in
every stage of product
conceptualization in listing
important key ideas.

deas.

1. Identify
Customers Need
7. Prepare a
Development Plan

2. Target
Specifications

- Refine Product
6.
S
-pecification

- Analyze a
3.
Competitive
Product

--

5. Select A product
Concept

4. Generate Product
Concept

Task 6: SWOT Analysis

Directions:

In a separate sheet of
paper or in your notebook list down all
your observations for your business
idea. Categorize your observations
according to strengths, weakness,
opportunities and treats. After
carefully listing them down, use the
stated strategies to come up with a
sound analysis, activities and best
business idea

down, use the stated strategies to come up with a sound analysis, activities
and best business idea.
Strength (S)
-

Weaknesses (W)
-

Opportunities (O)
-

Strategies:

Threats (T)
-

Strategies:

SW- Maximize on the Strengths to overcome the

internal Weakness.
OW - Capitalize on the Opportunities to eliminate the
internal
Weakness.
ST - Maximize on your Strengths to eliminate the
external Threats.
OT - Take advantage of the available Opportunities to
eliminate the external Threats.
ANALYSIS:

_______________________

ACTIVITIES:______________________

MY

BUSINESS IDEAS: _______________

ASSESSMENT

Task 8: Designing a
Logo
Task 8: Designing a Logo

Directions:
In a separate sheet of paper or in
Directions: In a separate sheet of paper or in your notebook draw a logo that
you will
use in your business.
Provide
a simple
statement
to describe
your in
your
notebook
draw
a
logo
that
you
will
use
logo.
your business. Provide a simple statement to
describe
your logo.
Logo

Tagline

ASSIGNMENT

Task 9: Making My Own Vicinity

Map
Directions:
In MyaOwn
separate
Task 9: Making
Vicinity Map sheet of paper or in
your Directions:
notebook
draw a vicinity map reflective of
In a separate sheet of paper or in your notebook draw a vicinity
map reflective
of potential market
Hardware Servicing
in your
potential
market
in in Computer
Computer
Hardware
province. Provide a simple statement to describe your map.
Servicing in your province. Provide a simple
statement to describe your map.
Vicinity Map

References
Module

5, Project EASE, Effective and Affordable Secondary

Education
http://www.entrepreneur.com/article/77408#ixzz2twpYG49A
http://www.thetimes100.co.uk/theory/theory--opportunitiesconstraints-4business-environment--165.php#ixzz1PVjUuaWu
http://www.thetimes100.co.uk/theory/theory--constraints-421.php#ixzz1PVki8a36
http://www.thetimes100.co.uk/theory/theory--constraints-onproduction-303.php#ixzz1PVkyDy8k
http://www.thetimes100.co.uk/theory/theory--production-andresource-requirements--354.php#ixzz1PVlGG7zv
http://www.thetimes100.co.uk/theory/theory--nature-and-role-ofmarketing-245.php#ixzz1PVlc88gR5

Thank You