2. Marketing Environment
Consists of actors and forces outside the organization that
affect management’s ability to build and maintain
relationships with target customers.
Environment offers both opportunities and threats to the
company.
Marketing intelligence and research used to collect
information about the environment.
4. Marketing Environment
Includes:
Microenvironment: actors close to the company that affect its
ability to serve its customers. (suppliers, marketing
intermediaries, competitors etc.)
Macroenvironment: larger societal forces that affect the
microenvironment. (demographic, economic, political etc.)
Beyond the control of the organization.
Environmental constraints
5. The Company’s
Microenvironment
Company’s Internal Environment:
Areas inside a company.
Affects the marketing department’s
planning strategies.
All departments must “think
consumer” and work together to
provide superior customer value and
satisfaction.
7. The Company’s
Microenvironment
Suppliers:
Provide resources needed to produce goods and services.
Important link in the “value delivery system.”
Most marketers treat suppliers like partners.
9. The Company’s
Microenvironment
Competitors:
Those who serve a target market with products and services
that are viewed by consumers as being reasonable substitutes
Company must gain strategic advantage against these
organizations
10. The Company’s
Microenvironment
Publics:
Group that has an interest in or impact on an organization's
ability to achieve its objectives
Publics Include:
•Financial
•Media
•Government
•Citizen-action
•Local
•General
•Internal
12. The Macroenvironment
The company and all of the other actors operate in a larger
macro environment of forces that shape opportunities and
pose threats to the company.
Forces Include:
Technological
Political
Cultural
Demographic
Economic
Natural
14. The Company’s
Macroenvironment
Demographic:
The study of human populations in terms of size, density,
location, age, gender, race, occupation, and other statistics.
Marketers track changing age and family structures,
geographic population shifts, educational characteristics, and
population diversity.
15. Demographics of India
Population:1.37 bn (2019)
Growth rate:1.51% (2009 approx)
Birth rate:20.22 births/1,000 population (2013 approx)
Death rate: 7.4 deaths/1,000 population (2013 approx)
Life expectancy:68.89 years (2011 approx)–male:67.46 years
(2011 approx)–female:72.61 years (2011 est)
16. Demographics of India
Age structure:
0-14 years: 27.34% (male 186,087,665/female
164,398,204)
15-24 years: 17.9% (male 121,879,786/female
107,583,437)
25-54 years: 41.08% (male 271,744,709/female
254,834,569)
55-64 years: 7.45% (male 47,846,122/female
47,632,532)
65 years and over: 6.24% (male
37,837,801/female 42,091,086) (2017 est.)
17. Demographics of India
Table 1: (2011 Census) Religious Data
Hindus : 79.8%
Muslims : 14.2%
Christians : 2.3%
Sikhs : 1.7%
Buddhists : 0.8%
Jains : 0.4%
Other Religions : 0.7%
Religion not Stated : 0.1%
18. Demographics of India
Languages of India
Official language(s) Hindi written in the
Devanāgarī script
(the Indian Constitution recognises English as
a subsidiary official language)
Regional language(s)Assamese ·Bengali ·
Bodo · Chhattisgarhi · Dogri · Garo ·
Gujarati · Standard Hindi · Kannada ·
Kashmiri · Khasi · Kokborok · Konkani ·
Maithili · Malayalam · Manipuri · Marathi ·
Mizo · Nepali · Oriya · Punjabi · Sanskrit ·
Santali · Sindhi · Telugu · Tamil · Urdu
19. States and territories of India
Indian is a federal union of states comprising twenty-nine states and
seven union territories. The states and territories are further
subdivided into districts and so on.
20. Geographic Concentration of
Population in India
Approx. 193mn household in the country
71% population is concentrated in rural areas.
Approx. 29% population lives in Urban areas.
52% nuclear households
19% joint families
The literacy ratio of India is 74.04% (2011) with male
literacy at 82.14% and female literacy at 65.46% .
21. Increasing Diversity
India is a “salad bowl”
Various groups mixed together, each retaining its ethnic and cultural
differences
Increased marketing to:
Children
Youth `
24. Economic Environment
Income Distribution
Upper class
Middle class
Working class
Underclass
Consists of factors that affect consumer
purchasing power and spending patterns.
28. Economy of The Republic of
India
Rank : 5th GDP and 3rd in PPP
Currency1 Indian Rupee (INR) = 100 paise
Fiscal year1 April — 31 March
Statistics
GDP $2.936 trillion ( 2019 est)
GDP growth 5 % (2019 est)
GDP by sector Agriculture: 15.4%, Industry: 23 %, Services: 61.5%
(2017)
Inflation 3.05% ( May 2019)
Population below poverty line 21.3% (less than $1.25 per day)
(2016)
29. Economy of The Republic of
India
Labour force 502 million (2018)
Labour force by occupation
agriculture (44%), industry (25%), services
(31%) (2018)
Unemployment 10.8 million people
Main industries
telecommunications, textiles, chemicals, food
processing, steel, transportation equipment,
cement, mining, petroleum, machinery,
information technology
30. Economy of The Republic of
India
Exports $330 billion (2018)
Export goods
software, petroleum products, textile goods, gems and
jewelry, engineering goods, chemicals, leather
manufactures
Main export partners
US, UAE, China , EU, Hongkong.
Imports $514 billion (2018)
Import goods
crude oil, machinery, gems, fertilizer, chemicals
Main import partners
China, Saudi Arabia, US, UAE, ASEAN
32. Natural Environment
Factors Impacting the Natural Environment:
Shortages of raw materials
Increased pollution
Increased government intervention
Environmentally sustainable strategies
33.
34. Technological Environment
Changes rapidly.
Creates new markets and opportunities.
Challenge is to make practical, affordable
products.
Safety regulations result in higher research
costs & longer time between
conceptualization and introduction of
product.
35. Political Environment
Includes Laws, Government Agencies, and
Pressure Groups that Influence or Limit
Various Organizations In a Given Society.
Areas of concern:
Increasing legislation
Changing government agency enforcement
Increased emphasis on ethics and socially
responsible behavior
36. Cultural Environment
The institutions and other forces that affect a
society’s basic values, perceptions, preference,
and behaviors.
Core beliefs and values are passed on from
parents to children and are reinforced by
schools, churches, business, and government.
Secondary beliefs and values are more open to
change.
37. Responding to the Marketing
Environment
Environmental Management Perspective
Taking a proactive approach to managing
the environment by taking aggressive (rather
than reactive) actions to affect the publics
and forces in the marketing environment.