Relationship of micro market and macro environment in marketing

Macro environmental factors vs. micro environmental factors | siobhan c. scott

relationship of micro market and macro environment in marketing

Jan 8, Marketing Environment is the combination of external and internal factors and the company's ability to establish a relationship and serve its customers. The external environment is further divided into two components: micro & macro. Competitors are the players in the same market who targets similar. Sep 21, The primary difference between micro and macro environment is that the micro Organization itself, Suppliers, Market, Intermediaries and Customers. Marketing intermediaries may include wholesalers, distributors, and. Feb 26, It operates in a larger context: the Macro Environment, 6 forces that Some of the most important demographic trends that affect markets are.

Demographic Environment The demographic environment is made up of the people who constitute the market.

relationship of micro market and macro environment in marketing

These factors include the GDP, GNP, interest rates, inflation, income distribution, government funding and subsidies, and other major economic variables. Physical Environment The physical environment includes the natural environment in which the business operates. This includes the climatic conditions, environmental change, accessibility to water and raw materials, natural disasters, pollution etc. Technological Environment The technological environment constitutes innovation, research and development in technology, technological alternatives, innovation inducements also technological barriers to smooth operation.

Technology is one of the biggest sources of threats and opportunities for the organisation and it is very dynamic. Social-Cultural Environment The social-cultural aspect of the macro environment is made up of the lifestyle, values, culture, prejudice and beliefs of the people.

Marketing Environment | Micro and Macro Environment

This differs in different regions. Importance of Marketing Environment Every business, no matter how big or small, operates within the marketing environment. The business environment is one of the most dynamic aspects of the business. Other important factors are the ethnic diversity that provides new opportunities, as well as urbanisation.

Economic forces in the Macro Environment The Economic forces relate to factors that affect consumer purchasing power and spending patterns. For instance, a company should never start exporting to a country before having examined how much people will be able to spend. The basis for these factors is formed by the fact that people are part of a society and cultural group that shape their beliefs and values.

relationship of micro market and macro environment in marketing

Many cultural blunders occur due to the failure of businesses in understanding foreign cultures. For instance, symbols may carry a negative meaning in another culture. Technological forces in the Macro Environment Technological forces form a crucial influence in the Macro Environment. They relate to factors that create new technologies and thereby create new product and market opportunities.

A technological force everybody can think of nowadays is the development of wireless communication techniques, smartphones, tablets and so further.

The Macro Environment - Six Forces (DESTEP)

This may mean the emerge of opportunities for a business, but watch out: Thus, marketers must watch the technological environment closely and adapt in order to keep up. Otherwise, the products will soon be outdated, and the company will miss new product and market opportunities. Ecological forces in the Macro Environment Ecological, or natural forces in the Macro Environment are important since they are about the natural resources which are needed as inputs by marketers or which are affected by their marketing activities.

Micro and Macra Environment Tutorial in hindi for MBA and bba students of aktu and mjpru

Also, environmental concerns have grown strongly in recent years, which makes the ecological force a crucial factor to consider. For instance, world, air and water pollution are headlines every marketer should be aware of.

Market environment

In other words, you should keep track of the trends in the ecological environment. Important trends in the ecological environment are the growing shortage of raw materials and the care for renewable resources. In addition, increased pollution, but also increased intervention of government in natural resource management is an issue. Because of all these concerns and the increased involvement of society in ecological issues, companies more than ever before need to consider and implement environmental sustainability.

This means that they should contribute to supporting the environment, for instance by using renewable energy sources. Thereby, businesses do not only support the maintenance of a green planet, but also respond to consumer demands for environmentally friendly and responsible products.

relationship of micro market and macro environment in marketing

Political forces in the Macro Environment Every business is limited by the political environment. This involves laws, government agencies and pressure groups. These influence and restrict organisations and individuals in a society. Moreover the unfair distribution of income is resulted in the formation of two kinds of classes of the people which are affluent and less affluent.

relationship of micro market and macro environment in marketing

So they should carefully monitor the altering trends of the economic system in order to prevent their organizations from the side effects of the changing trends. The natural force of the macro environment consists of the natural resources that are required by the organizations as inputs or that is influenced by the marketing activities.

The Impact Of Micro and Macro Environment Factors on Marketing

The trends of the natural environment are becoming quite important since few years like The industrial expansion has seriously affected the raw materials by creating their shortage. Moreover, certain nonrenewable inputs are depleting due to their improper usage like oil, coal etc.

relationship of micro market and macro environment in marketing

The organizations are adopting the environmental friendly trend by which they have produced safe, biodegradable or recyclable products. For this purpose following are the important trends of the technological area. For this purpose following are some of important trends. There are certain cultural characteristics that influence the decision of the marketers.