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Lecture M: Marketing (4/e) - Chapter 5: Analyzing the marketing environment

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chapter

five

analyzing 
the marketing 
environment

Copyright © 2015 McGraw­Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw­Hill Education.


LEARNING OBJECTIVES

LO 5-1

Outline how customers, the company,
competitors, and corporate partners affect
marketing strategy.
LO 5-2 Explain why marketers must consider
their macroenvironment when they make
decisions.
LO 5-3 Describe the differences among the
various generational cohorts.
LO 5-4 Identify various social trends that affect
marketing.
5­2


A Marketing Environment 
Analysis Framework
Culture



Company

Political/
Legal

Consumers

Culture

Demographics

Immediate Environment
Competition

Economic

Corporate
Partners

Macroenvironment

Technology

5­3


The Immediate Environment

Company


Consumers

Immediate Environment
Competition

Corporate
Partners

5­4


Successfully Leveraging 
Company Capabilities
Core competency

Existing knowledge,
facilities, patents, etc.

©M Hruby

applied to
New markets,
new products, etc.

5­5


Competitors






Know strengths &
weaknesses
Proactive rather than
reactive strategy

Chad Baker/Getty Images

5­6


Corporate Partners

From factory

©Lars A Niki



Siede Preis/Getty Images



Firms are part of alliances
Align with competitors, suppliers, etc.
Just in Time Delivery Systems (JIT)
D Normark/PhotoLink/Getty Images




to

Retailer
5­7




check yourself



What are the components of the
immediate environment?

5­8


Macroenvironmental Factors

Culture

Demographics

Consumers

Culture


Economic

Political/
Legal

Technology

5­9


Culture

Country Culture vs. Regional Culture

©Brand X Pictures/PunchStock

PhotoLink/Getty Images

5­10


Demographics

Provides an easily understood snapshot
of the typical consumer in a specific target market

BananaStock/JupiterImages

Comstock Images/Alamy


U.S. Census Website
5­11


Generational Cohorts

5­12


Income





Purchasing power is
tied to income
Many middle class
families feel the
decline in purchasing
power in recent years

Courtesy of Hammacher Schlemmer, www.hammacher.com.

5­13


Education


=
©Fancy Photographer/Veer

Brand X Pictures

Education is related to income,
which determines spending power

5­14


Gender

Jochen Sand/Digital Vision/Getty Images

5­15


Ethnicity

By 2050, minorities will
represent 50% of the
population.

©2006 Oldemarak, LLC Reprinted with permission The Wendy’s
name, design and logo are registered trademarks of Oldemark, Llc
and are licensed to Wendy’s International, Inc.

Super Bowl XLI Commercial
Bud Light Starring: Carlos Mencia

5­16


Social Trends

Thrift

Health and
Wellness
Concerns

Privacy
Concerns

Greener
Consumers

Time-Poor
Society

Celebrity Magazine Covers
5­17


Technological Advances



Technology has
impacted every

aspect of marketing




New products
New forms of
communication
New retail channels

AP Photo/Ric Feld

Stop and
Shop Website

Rachael Ray
5­18


Economic Situation

Foreign currency
fluctuations

Brand X Pictures

Combined with inflation
and interest rates affect
firms’ ability to market
goods and services

PhotoLink/Getty Images

Conference Board Website
5­19


Political/Regulatory Environment 
Competitive Practice and Trade Legislation

David Hiller/Getty Images

5­20




check yourself








What are the six key macroeconomic
factors?
Differentiate between country culture and
regional culture.
Identify the different generational cohorts.

What are some important social trends
shaping consumer values and shopping
behavior?

5­21


Glossary
Country culture involves visual nuances of a
country’s culture such as artifacts, behavior,
dress, symbols, physical settings, ceremonies,
language differences, colors and tastes, and food
preferences, as well as language.

Return
to slide

5­22


Glossary
Culture is the shared meanings, beliefs, morals,
values, and customs of a group of people.

Return
to slide

5­23



Glossary
Demographics indicate the characteristics of
human populations and segments, especially
those used to identify consumer markets.

Return
to slide

5­24


Glossary
A generational cohort is a group of people of the
same generation.

Return
to slide

5­25


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