THE MARKETING BUSINESS

MACRO ENVIRONMENT

PRESENTED BY:
PASTOR, MYLE ALLYNNE
A.
MACRO ENVIRONMENT ANALYSIS

 The macro-environment refers to the broader condition of an economy as opposed to

specific markets.
 Factors and forces that affect a firm's ability to build and maintain successful
customer relationships.
 PESTLE or DESTEP ANALYSIS
FACTORS IN MACRO ENVIRONMENT

 PESTLE ANALYSIS  DESTEP ANALYSIS

 POLITICAL  DEMOGRAPHIC
 ECONOMIC  ECONOMIC
 SOCIAL  SOCIO-CULTURAL
 TECHNOLOGICAL  TECHNOLOGICAL
 LEGAL  ECOLOGICAL
 ENVIRONMENTAL  POLITICAL-LEGAL
THE POLITICAL FACTOR IN THE MACRO ENVIRONMENT

 Political Factors are all about how and to what

degree a government intervenes in the economy or a
certain industry.

 Factors included:
• Tax policy (tax rates and incentives)
• Government stability and related changes
• Trade control
• Tariffs
• Government involvement in trade unions and
agreements
THE ECONOMIC FACTOR IN THE MACRO ENVIRONMENT

 The Economic factors are those that affect consumer

purchasing power and spending patterns.

 Factors included:
• Economic Growth
• Exchange Rates
• Inflation Rates
• Interest Rates
• Unemployment Rates
• Disposable Income of Consumers
THE SOCIAL FACTOR IN THE MACRO ENVIRONMENT

 The social aspect focuses on the forces within the

society. Family, friends, colleagues, neighbors and
the media are social factors.

 Factors included:
• Demographic Location
• Ethnic Background
• Social Status
• Immediate Needs
• Lifestyle Changes
• Trends
THE TECHNOLOGICAL FACTOR IN THE MACRO
ENVIRONMENT

 Technological factors are often referred to as

advancements in technology. Not only technology
used to develop and deliver products to consumers,
but also the technology used to run businesses
efficiently.

 Factors included:
• Internet connectivity
• Automation
• Research and development activity
• Level of innovation
THE ENVIRONMENTAL FACTOR IN THE MACRO
ENVIRONMENT

 Environmental factors became important due to the

increasing scarcity of raw materials, pollution, and
carbon footprints.

 Factors included:
• Weather
• Climate change
• Pollution
• Availability of non-renewable goods
• Climate
THE LEGAL FACTOR IN THE MACRO ENVIRONMENT

 Legal Factors pertain to any legal forces that define

what a business can or cannot do. Although legal
factors may have some overlap with political factors,
they include more specific laws

 Factors included:
• Discrimination laws
• Employment laws
• Consumer protection laws
• Copyright and patent laws
PESTEL ANALYSIS

 In conclusion, PESTEL Analysis is used to identify external factors that might affect the efficiency and
effectiveness of a business. By examining how outside influences are connected to a business, it’ll reflect how to
keep ahead of the competition.
REFERENCES

 Lewin, J. (2019, June 4). Put Your PESTEL to the Mettle. Cayenne Consulting. https://www.caycon.com/blog/put-your-pestel-to-the-mettle
 Lewin, J. (2019, May 29). Political Factors in your PESTEL Analysis (Part 2 of 7). Cayenne Consulting.
https://www.caycon.com/blog/political-factors-in-your-pestel-analysis
 Lewin, J. (2019, June 7). Social Factors in your PESTEL Analysis (Part 4 of 7). Cayenne Consulting.
https://www.caycon.com/blog/social-factors-in-your-pestel-analysis
 Lewin, J. (2020, September 1). Legal Factors in Your PESTEL Analysis (Part 7 of 7). Cayenne Consulting.
https://www.caycon.com/blog/legal-factors-in-your-pestel-analysis
 Business to You. (2016, September 8). Scanning the Environment: PESTEL Analysis. Business to You.
https://www.business-to-you.com/scanning-the-environment-pestel-analysis
 Frue, K. (2017, May 2). What is Macro Environment Analysis?. PESTLE Analysis.
https://pestleanalysis.com/what-is-macro-environment-analysis
 Claessens, M. (2015, February 26). The Macro Environment – Six Forces In The Environment Of A Business. Marketing Insider. https://
marketing-insider.eu/macro-environment