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Chapter 3 & 4 - The Marketing Environments

Chapter 3 & 4 - The Marketing Environments. The Marketing Environment. Consist of the internal (microenvironment) and the external environment (macroenvironment). Competitors. Company. Collaborators. Customers. The Micro-environment. FOUR BASIC CATEGORIES. The microenvironment: Company.

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Chapter 3 & 4 - The Marketing Environments

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  1. Chapter 3 & 4 - The Marketing Environments

  2. The Marketing Environment Consist of the internal (microenvironment) and the external environment (macroenvironment).

  3. Competitors Company Collaborators Customers The Micro-environment FOUR BASIC CATEGORIES

  4. The microenvironment: Company • Total organization – many different functional areas • Interactive • Flexible and creative

  5. The microenvironment: Customers • Business-to-consumer • Business-to-business • Business –to-Institutional

  6. The microenvironment: Competition • Four general types of competition: • Price • Quality • Time (particular important in services) • Location

  7. The microenvironment: Competition Forces that impact an industry’s competitive environment) Porter’s Competitive Forces: 1. Supplier power 2. Threat of substitutes 3. Degree of rivalry 4. Buying power of the customer 5. Barriers to entry

  8. The microenvironment: Collaborators • Alliances • Networks • Informal partnerships • Suppliers • Virtual corporations

  9. Raw Materials Supplier Transportation company Components Supplier Wholesaler Retailer Service Supplier The Value Chain – Exhibit 3.2 DOWNSTREAM PRIMARY ACTIVITIES UPSTREAM C u s t o m e r s Company

  10. Macroenvironment Physical Environment Sociocultural Forces Demographic Forces Science and Technology Economic Forces Political and Legal Forces Consists of SIX broad categories

  11. Exhibit 4-1: Macroenvironment influences on the marketing mix

  12. Macroenvironment: Demography • The Canadian Population • www.populationconnection.org • Canadian population growth attributed to immigration • Migration and Urbanization • “Golden Horseshoe” – Ontario • Montreal and the adjacent regions • B.C.’s lower mainland and southern Vancouver Island • Calgary-Edmonton Corridor • 51% of Canadianslive in one of thesefour areas; • 80% of Canadians are urban dwellers

  13. Macroenvironment: Demography Profile of the “Average Canadian Consumer” The Changing Canadian Household Single-Person and Single-Parent Households Working Women Family and Household Income A Multi-cultural Population

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