Market Environment
The *market environment* is a marketing term and refers to all of the forces outside of marketing that affect marketing management's ability to build and maintain successful relationships with target customers.
The market environment consists of both the macroenvironment and the microenvironment.
The microenvironment refers to the forces that are close to the company and affect its ability to serve its customers. It includes the company itself, its suppliers, marketing intermediaries, customer markets, competitors, and publics.
o The company aspect of microenvironment refers to the internal environment of the company. This includes all departments, such as management, finance, research and development, purchasing, operations and accounting. Each of these departments has an impact on marketing decisions.
For example, research and development have input as to the features a product can perform and accounting approves the financial side of marketing plans and budgets.
o The suppliers of a company are also an important aspect of the microenvironment because even the slightest delay in receiving supplies can result in customer dissatisfaction. Marketing managers must watch supply availability and other trends dealing with suppliers to ensure that product will be delivered to customers in the time frame required in order to maintain a strong customer relationship.
o Marketing intermediaries refers to resellers, physical distribution firms, marketing services agencies, and financial intermediaries. These are the people that help the company promote, sell, and distribute its products to final buyers.
Resellers are those that hold and sell the company's product. They match the distribution to the customers and include places such as Wal-Mart, Target, and Best Buy.
Physical distribution firms are places such as warehouses that store and transport the company's product from its origin to its destination.
Marketing services agencies are companies that offer services such as conducting marketing research, advertising, and consulting.
Financial intermediaries are institutions such as banks, credit companies and insurance companies.
o Another aspect of microenvironment is the customers. There are different types of customer markets including consumer markets, business markets, government markets, international markets, and reseller markets.
The consumer market is made up of individuals who buy goods and services for their own personal use or use in their household.
Business markets include those that buy goods and services for use in producing their own products to sell. This is different from the reseller market which includes businesses that purchase goods to resell as is for a profit. These are the same companies mentioned as market intermediaries.
Every business must identify its customers in its marketing plan. The customer analysis performed hereafter shall interrogate the characteristics of the potential customers of the products by LifeVantage and the current and emerging factors that influence their buying behavior.
A market is a group of good and service for buyers and seller in economic industry (Mankiw, 2011). The buyers were included by group of demand for the product, and the sellers were included by group of supply of the product (Mankiw, 2011). A market is only for group of economic agents, which is firms and individuals, for who were interact with each other in buyer-seller relationship (Wilkinson, 2005). In general, market structure can beclassified into four major characteristics: monopoly, perfect competition, monopolistic competition and oligopoly.
It is important to recognise the main features that affect a business in view of the macro and micro-environmental factors.
These include Digital Marketing, Inside Marketing, Knowledge Marketing, Market Classification, User Operations Theory, Competitive Policy, Customer Relationship Management, Communication Marketing, Marketing Research, Segmentation, Advertising and Sales Channel, Public Relations and Marketing 4R or Product, Price , Promotion and Place and up to 3P People, Process and Physical evidence of service marketing, "7P" Marketing. The Micro Marketing is a process that aims to meet the needs of the organization to meet the organization's objectives. The Macro marketing is to ensure that goods and services from the producer to the consumer are aligned with the supply and demand balance and to meet social
Marketing is that broad area of business activity that directs the flow of services provided by the carrier to the customer in order to satisfy customers’ needs and wants and to achieve company objectives. Marketing is more than selling: it involves a number of business activities, including forecasting, market research and analysis, product research and development, price setting, and promotion, including advertising. Marketing also involves the finance activities such as credit and collection that are associated with ticket sales. Marketing is customer oriented…Without marketing and sales, there would be no airlines. (p. 274)
Marketing In this day and age is vital for a company to perform at its possible best. Marketing’s main focus is to give great satisfaction to a customer. There are many aspect of marketing, these aspects give marketer’s the tools to help strive for the best possible success they can achieve. They hope that they can create exposure for their brand, product or service.
The macroenvironment, level I of the customer value funnel, consists of society, demographics and psychographics, as well as natural, physical, political, legal and technological forces. While collaboration, competition, suppliers and regulators make up the microenvironment, level II of the customer value funnel.
As a multinational, Xerox specializes in technology and services and operates under two different market environments, the macro and microenvironment. In the microenvironment, the company has influence while in the macro-environment the company cannot make market changes.
There are six primary micro environmental factors that usually influence Boots’ business activities, each of the microenvironment factors consists within itself a self-contained micro environment that is alone but allows interaction between other micro environments. The six primary micro environmental factors are divided into two groups one which directly impacts Boots’ and the other that doesn’t.
Every company depends on an efficient marketing program to fulfill customers' needs. Marketing is a process of finding out what the customer wants and meeting those requirements. Within the company, the marketing group has to consider customer values and customer satisfaction before considering offering a product. Marketing is part of our everyday world, and can be perceived everywhere and every time. At any time, everyone has been exposed to different kinds of marketing or advertising depending upon personal necessities such as T.V commercials, radio, internet, etc.
To help these businesses, a more appropriate or better marketing plan needs to be designed. Small business internet marketing services can help businesses develop and thrive in a highly competitive market. For the highest quality internet marketing services, hiring an online marketing company to design a customized internet marketing campaign may be advantageous for some businesses (EStartup business blog and contributors, 2010). Identifying the role that marketing plays in a successful business is demonstrated by the use of two examples, the importance of developing a marketing plan, and ethical and legal issues that surround marketing practices (EStartup business blog, 2010). To be a successful business, the owner of the business should use the marketing mix and the results of market research; having identified its key audience a company has to ensure a marketing mix is created that is targeted specifically to those people.
Marketing is how a company or organization promotes the service or product the company uses to create revenue. After closely reviewing the needs of the public in an area or the market and the product or service is revised to accommodate these needs, a marketing plan would be created and executed.
Then, systematically analyzing situational environments is a crucial way for organizations to identify their customers and understand their needs. As Peter(1998: 23) said, “The successes of any marketing plan hinges on how well it can identify customer needs and organize its resources to satisfy them profitably” (J. Paul Peter, James H. Donnelly, JR, 1998)
It is not secret that marketing plays one of the key roles of a successful business. As Phillip Kotler said: “Marketing is the science and art of exploring, creating, and delivering value to satisfy the needs of a target market at a profit. Marketing identifies unfulfilled needs and desires. It defines, measures and quantifies the size of the identified market and the profit potential”. Simply stated, marketing is everything you do to place your product or service in the hands of a potential customer.
It involves the vital process of researching, promoting and offering products or services to a company’s target market. Marketing is an important business process where the company can inform, attract and convince people that its products or services are of value to them. Without Marketing, many businesses would be unable to exist or operate well in the market. They could offer the most amazing product or service in the market, but if nobody knows about its existence or understands its value, these companies are unable to make a single sale thus they may have to be out of