1. Marketing Environment
• Macro environment
• Micro environment

2. MACROENVIRONMENT
Economic
Cultural Natural Forces
COMPANY
Political Demographic
Technological

3. The Marketing Environment and
Competitor Analysis
•SWOT analysis
•PEST analysis
•Five forces analysis

4. SWOT analysis
• Strengths (internal)
• Weaknesses (internal)
• Opportunities (external)
• Threats (external)

5. PEST analysis
• Political factors
• Economic factors
• Socio-cultural factors
• Technological factors

6. Political/legal
• Monopolies legislation
• Environmental protection laws
• Taxation policy
• Employment laws
• Government policy
• Legislation
• Others?

7. Economic Factors
• Inflation
• Employment
• Disposable income
• Business cycles
• Energy availability and cost
• Others?

8. Sociocultural factors
• Demographics
• Distribution of income
• Social mobility
• Lifestyle changes
• Consumerism
• Levels of education
• Others?

9. Technological
• New discoveries and innovations
• Speed of technology transfer
• Rates of obsolescence
• Internet
• Information technology
• Others?

10. Five Forces Analysis: Key
Questions and Implications
• What are the key forces at work in the competitive
environment?
• Are there underlying forces driving competitive
forces?
• Will competitive forces change?
• What are the strengths and weaknesses of
competitors in relation to the competitive forces?
• Can competitive strategy influence competitive forces
(eg by building barriers to entry or reducing
competitive rivalry)?

11. Microenvironment
• Refers to the environment mostly closely
linked to the organization
• Comprises organizations and individuals
who directly affects the activities of the
organization
• The actors in the immediate environment
that affects the firm’s capability to operate
in its chosen market

12. The Company’s Microenvironment
• The organization’s internal environment
• Suppliers
• Marketing Intermediaries
• Customers
• Publics