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    The Marketing Environment

    •Chapter 5•PowerPoint slides

    •Express version

    • Instructor name

    •Course name

    • School name

    • Date

     Principles of Marketing, Sith Canadian Edition

    http://www.pearsoned.ca/kotler/

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    Principles of Marketing, Sixth Canadian

    5.2

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    !earning "#$ectives

    • After std!ing this chapter, !o shold "e a"le to#

     $  %escri"e the environ&ental forces that affect the co&pan!'s

    a"ilit! to serve its csto&ers

     $  Explain how changes in the de&ographic and econo&ic

    environ&ents affect &arketing decisions

     $  (dentif! the &a)or trends in thefir&'s natral and technological

    environ&ents

     $  Explain the ke! changes in the

     political and cltral environ&ents

     $  %iscss how co&panies can react tothe &arketing environ&ent

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    The Marketing Environment

    • Marketing environ&ent#

     $  +actors and forces otside of &arketing's direct control

     $  Affect &anage&ent's a"ilit! to develop and &aintain

     $  Sccessfl transactions with target csto&ers

    • Microenviro&ent#

     $  +orces close to the co&pan!

     $  hat affect its a"ilit! to serve

    csto&ers

    • Macroenviron&ent#

     $  -arger, societal forces that affect theorganiation's &icroenviron&ent

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    The Company%s Microenvironment

    • he co&pan!#

     $  Manage&ent, finance, research 0 develop&ent, prchasing,

    &anfactring, acconting, and h&an resorces

    • Sppliers

    • Marketing inter&ediaries#

     $  1esellers

     $  Ph!sical distri"tion

    fir&s

     $  Marketing service

    agencies $  +inancial

    inter&ediaries

    &igure 5.'

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    The Company%s Microenvironment

    • Csto&ers#

     $  Cons&er, "siness, reseller, govern&ent, and international

    &arkets

    • Co&petitors

    • P"lics#

     $  +inancial

     $  Media

     $  overn&ent

     $  Citien3action grops

     $  -ocal $  eneral

     $  (nternal

    &igure 5.'

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    The Company%s Macroenvironment

    • %e&ographic environ&ent#

     $  Std! of h&an poplation

     $  Sie, densit!, location, age, race, sex, occpation, and edcation

    • rends of interest#

     $  orld poplation

    growth $  (ncreased diversit!

     $  Changing age

    strctre within

    Canada

     $  Changing hoseholds

     $  6igher edcation

     $  eographic shifts

    &igure 5.2

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    The Company%s Macroenvironment

    •  9atral environ&ent#

     $  rowing shortages of raw &aterials

     $  (ncreased polltion

     $  (ncreased govern&ent intervention

     $  Canadian federal law#

    Environ&entalProtection Act :;

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    The Company%s Macroenvironment

    • echnological environ&ent#

     $   9ew technolog! creates new &arkets and opportnities

     $  1eplaces existing prodcts and services

     $  1esearch and develop&ent activit! drives this sector 

     $  Canadian spending on

    10% is low, ranked;5th in the world

     $  overn&ent progra&s

    to encorage &ore

     $  overn&ent agencies

    to reglate new prodct safet!

    &igure 5.2

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    5.

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    The Company%s Macroenvironment

    • Political environ&ent#

     $  -aws, govern&ent agencies, and pressre grops

     $  (nflence and li&it organiations and individals within a societ!

     $  (ncreasing legislation

     $  (ncreased e&phasis on

    ethics and socialresponsi"ilit!

     $  Case3related

    &arketing

     $  ?siness legislation is

    sed to protectcons&ers, "sinesses,

    and the interests of

    societ!

    &igure 5.2

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    The Company%s Macroenvironment

    • Cltral environ&ent#

     $  (nstittions and other forces that inflence

     $  Societ!'s "asic vales, perceptions, preferences, and "ehaviors

     $  Core "eliefs passed on throgh fa&il!, reinforced "! instittions

     $  Secondar! "eliefs are

    &ore open to change $  People's views of#

    • he&selves

    • @thers

    • @rganiations

    • Societ!

    •  9atre

    • he niverse

    &igure 5.2

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    (esponding to the Marketing Environment

    • Passive approach#

     $  Co&panies react to ncontrolla"le factors within their

    environ&ents

    • Environ&ental &anage&ent

     perspective#

     $  Proactive approach to inflence andaffect forces within their environ&ent

     $  se lo""!ists to inflence legislation

     $  Media events, advertorials to shape

     p"lic opinion

     $  se contractal agree&ents and legal

    action when necessar!

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    In Conc)usion*

    • he learning o")ectives for this chapter were#

     $  %escri"e the environ&ental forces that affect the co&pan!'s

    a"ilit! to serve its csto&ers

     $  Explain how changes in the de&ographic and econo&ic

    environ&ents affect &arketing decisions

     $  (dentif! the &a)or trends in thefir&'s natral and technological

    environ&ents

     $  Explain the ke! changes in the

     political and cltral environ&ents

     $  %iscss how co&panies can react tothe &arketing environ&ent