Marketing planning: Situational analysis

Macroenvironment

The Marketing Organisation’s Macroenvironment

¡  Demographic Environment

§  Changing age structure of the population i.e. increases and decreases in the different age groups; changing households; geographic shifts; better education, white-collar population; ethnic diversity. 

¡  Economic Environment

§  Changes in income; changes in disposable income; changes in consumer spending patterns.

¡   Natural Environment

§  Climate change; shortages of raw materials; increased cost of energy; increased pollution; government intervention on environmental issues.

Demography is the study of human populations in terms of size, density, location, age, gender, race and occupation

1. aging population
2. decreasing household size
3. increased demand for a convenience based lifestyle
4. growing regional centres
5. higher education levels attained

Economic environment

 ¡  Resources needed as inputs or resources that are affected by marketing activities

¡  Key Areas of concern for marketing are…

§  Shortages of raw materials

§  Increased costs of energy

§  Increased pollution

§  Government intervention

Technological environment

 Political environment

Cultural environment

¡  Made up of institutions and other forces that affect society’s basic values, perceptions, preferences, and behaviours (cultures, subcultures, families, peers)

¡  Closely related to demographic forces

¡  Can be viewed as social trends

¡  Examples

§  more women in the workforce

§  more single-person households

§  more convenience-oriented consumers

§  more health consciousness

§  more concern about the environment

§  more acceptance of minority groups and their rights

¡  Persistence of cultural values

§  People hold beliefs and values, these are core and secondary. 

§  Core beliefs and values are passed on from parents to children and reinforced by society.

§  Secondary values are more open to change.

Shifts in Secondary Cultural Values

¡  Cultural swings take place

§  e.g. the influence of popular music; movie personalities on fashion etc.

¡  The main cultural values of a society are expressed in people’s view of themselves, of others and of organisations, society, nature and the universe.

¡  People’s view of themselves

§  The “ME” society?

¡  People’s view of others

§  The “WE” society?

¡  People’s view of organisations

§  Organisations need to find new ways to win consumer confidence. They need to review their activities and ensure they are viewed as “good corporate citizens”.

Responding to the Marketing Environment

¡  Many companies view the marketing environment as an uncontrollable element to which they must adapt.

¡  Other companies take an environmental management perspective.

¡  Marketing management cannot always affect environmental forces but they should be proactive rather than reactive wherever possible.

¡  Many companies view the marketing environment as an uncontrollable element to which they must adapt.

¡  Other companies take an environmental management perspective.

¡  Marketing management cannot always affect environmental forces but they should be proactive rather than reactive wherever possible.