Chapter 3

The Marketing Environment

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 Marketing Environment
Marketing Environment- consists of the actors
and forces outside marketing that affect
marketing management’s ability to develop and
maintain successful relationships with its target
customers.
Includes:
 Microenvironment - forces close to the company that
affect its ability to serve its customers.
 Macroenvironment - larger societal forces that affect
the microenvironment.
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 The Company’s
Microenvironment
Company’s Internal Environment- functional
areas inside a company that have an impact
on the marketing department’s plans.
Suppliers - provide the resources needed to
produce goods and services and are an
important link in the “value delivery
system”.
Marketing Intermediaries - help the
company to promote, sell, and distribute its
goods to final buyers. i.e. resellers. 3
Company’s Internal
Environment

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 The Company’s
Microenvironment
Customers - five types of markets that
purchase a company’s goods and services.
Competitors - those who serve a target
market with similar products and services
against whom a company must gain
strategic advantage.
Publics - any group that perceives itself
having an interest in a company’s ability to
achieve its objectives. 5
 Types of Customer Markets

Reseller Gov
ess er
nm
s in ts Markets ent
Bu rke Mar
ket
Ma s
r ke r

Int Mar
Ma me
ts

ern ket
nsu

at i s
Co

on
al
Company
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 Types of Publics
Citizen
n t Lo
me Action
r n Pu ca
o ve lics Publics bli l
G Pub cs

Ge ubl
ub ia
s

ne i c
Publics P Med

P
lic

ra
l
l
Financia

Inte lics
Pub
r n al
Company

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Major Forces in the Company’s
Macroenvironment

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 The Company’s
Macroenvironment
Demographic - studies populations in terms of
size, density, location, age, gender, race,
occupation and other statistics.

Economic - factors that affect consumer

purchasing power and spending patterns.

Natural - natural resources needed as inputs by

marketers or that are affected by marketing
activities.
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 Economic Environment
Economic
Economic
Development
Development

Key
Key
Changes
Changes in
in Income:
Income: Economic
Value Economic
Value Marketing
Marketing Concerns
Concerns for
for
Marketers
Marketers
Changing
Changing Consumer
Consumer
Spending
Spending Patterns
Patterns
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 Natural Environment
Shortages of
Raw Materials

Factors
Environmentally Affecting Increased
Sustainable the
Pollution
Strategies Natural
Environment

Governmental
Intervention
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 The Company’s
Macroenvironment
Technological - forces that create new
technologies, creating new product and
market opportunities.
Political - laws, agencies and pressure
groups that influence and limit
organizations and individuals in a given
society.
Cultural - institutions and other forces that
affect a society’s basic values, perceptions,
preferences, and behaviors. 12
 Technological Environment
Faster pace of technological change; products are
outdated at a rapid pace.
Almost unlimited opportunities being developed
daily in health care, space industry, robotics, and
bio-genetic field.
Challenge is not only technical, but also
commercial – make practical, affordable versions
of products.
Increased regulation concerning product safety,
individual privacy, and other areas that affect
technological changes.
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 Political Environment
Includes Laws, Government Agencies, Etc. that Influence
& Limit Organizations/ Individuals in a Given Society

Increased
Changing Emphasis on
Increasing Government Ethics &
Legislation Agency Socially
Enforcement Responsible
Actions
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 Cultural Environment

People’s
People’s View
View of
of
People’s
People’s View of Themselves
View of Themselves People’s
People’s View
View of
of
the
the Universe
Universe Others
Others
Cultural Values
Cultural Values
of
of aa
Society
Society
People’s
People’s View
View of
of People’s
People’s View
View of
of
Nature
Nature People’s View
People’s View Organizations
Organizations
of Society
of Society

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