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Principles of Marketing Eighth Edition Philip Kotler and Gary Armstrong
Principles of Marketing Eighth Edition Philip Kotler and Gary Armstrong
3-1
PRINCIPLES OF MARKETING
Eighth Edition
Philip Kotler and Gary Armstrong
Chapter
Chapter
33
The Global Marketing
Environment
• Includes:
–Microenvironment - forces close to the company
that affect its ability to serve its customers.
–Macroenvironment - larger societal forces that
affect the whole microenvironment.
Environment
Environment
Demographic
Company
Cultural Economic
Publics Suppliers
Company
Customers
Competitors
Political Natural
Intermediaries
Technological
Company
Company
Publics
Publics Forces
Forces Affecting
Affecting aa Suppliers
Suppliers
Company’s
Company’s Ability
Ability to
to
Serve
Serve
Customers
Customers
Competitors
Competitors Intermediaries
Intermediaries
Customers
Customers
Microenvironment
Microenvironment
• Company’s Internal Environment-
Environment functional areas
such as top management, finance, and
manufacturing, etc.
Microenvironment
Microenvironment
• Customers - five types of markets that
purchase a company’s goods and services.
Markets
Markets
International Consumer
Markets Markets
Company
Company
Government Business
Markets Markets
Reseller
Markets
Macroenvironment
Macroenvironment
Demographic
Demographic
Cultural
Cultural Forces
Forces that
that Shape
Shape Economic
Economic
Opportunities
Opportunities
and
and Pose
Pose Threats
Threats
to
to aa Company
Company
Political
Political Natural
Natural
Technological
Technological
Macroenvironment
Macroenvironment
• Demographic - monitors population in
terms of age, sex, race, occupation,
location and other statistics.
• Natural
Natura - natural resources needed as
inputs by marketers or that are affected
by marketing activities.
Changing
Changing Age
Age Structure
Structure
Population
Populationis
isgetting
gettingolder
older
Changing
Changing Family
FamilyStructure
Structure
Marrying
Marryinglater,
later,fewer
fewerchildren,
children,
working
workingwomen,
women,and
andnonfamily
nonfamilyhouseholds
households
Geographic
GeographicShifts
Shifts
Moving
Movingto
tothe
theSunbelt
Sunbeltand
andsuburbs
suburbs(MSA’s)
(MSA’s)
Increased
IncreasedEducation
Education
Increased
Increasedcollege
collegeattendance
attendance
and
andwhite-collar
white-collarworkers
workers
Growing
GrowingEthnic
Ethnicand
and Racial
Racial Diversity
Diversity
73%
73%Caucasian,
Caucasian,12%
12%African-American,
African-American,
10%
10%Hispanic
Hispanic&&3.4%
3.4%Asian
Asian
Economic
Economic Changes
Changes
Development
Development Key
Key in
in Income
Income
Economic
Economic
Concerns
Concerns for
for
Marketers
Marketers
Changes
Changes
in
in Consumer
Consumer
Spending
Spending
Patterns
Patterns
Copyright 1999 Prentice Hall
Natural
Natural Environment
Environment
3-12
3-12
More
More Government
Government
Intervention
Intervention
Factors
Affecting
Higher
Higher Pollution
Pollution the Shortages
Shortages of
of
Levels
Levels Natural Raw
Raw Material
Material
Environment
Increased
Increased Costs
Costs
of
of Energy
Energy
Macroenvironmen
Macroenvironmen
tt
• Technological - forces that create new
product and market opportunities.
Rapid
Rapid Pace
Pace of
of High
High R
R&&DD
Change
Change Budgets
Budgets
Issues
Issues in
in the
the Technological
Technological
Environment
Environment
Focus
Focus on
on Minor
Minor Increased
Increased
Improvements
Improvements Regulation
Regulation
Increased
Increased Changing
Changing
Legislation
Legislation Enforcement
Enforcement
Key
Key
Trends
Trends inin the
the
Political
Political
Environment
Environment
Greater
Greater
Concern
Concern for
for
Ethics
Ethics
Environment
Environment
Of
Of Oneself Of
the Universe Others
Views
Views
That
That Express
Express
Values
Values
Of Of
Nature Of Organizations
Society
Marketing
Marketing
Environment
Environment
• Environmental Management Perspective
–Taking a proactive approach to
managing the microenvironment and
the macroenvironment to affect
changes that are favorable for the
company. How? Hire lobbyists , run
“advertorials”, file law suits and
complaints, and form agreements.