The Marketing environment

• The company’s Micro environment

• The company’s Macro environment

The marketing environment is the sum of all the factors that impact a company's ability to sell its
products or services. These factors can be broadly classified into two categories: internal and
external.
The Company's Microenvironment
The microenvironment, also known as the task environment, consists of the actors and forces that
directly affect the company and its ability to serve its customers. These actors include:
• Customers: They are the core of any business and the driving force behind all marketing
decisions. Businesses need to understand their customers' needs, wants, and buying
behaviors to develop effective marketing strategies.

Customers in marketing environment

• Competitors: Businesses need to be aware of their competitors' strengths and
weaknesses to position their products or services effectively.
Competitors in marketing environment
• Suppliers: These are the businesses and individuals that provide the resources a company
needs to produce its goods or services. They can impact a company's costs, production
quality, and delivery schedules.

Suppliers in marketing environment

• Marketing intermediaries: These are businesses that help a company promote, sell, and
distribute its products to final buyers. They include wholesalers, distributors, retailers,
and advertising agencies.
Marketing intermediaries in marketing environment
• The general public: Any group that has an actual or potential interest in or impact on the
company's operations. This could include the media, financial institutions, citizen action
groups, and local communities.
The Company's Macroenvironment
The macroenvironment, also known as the general environment, consists of broader forces that
affect all businesses in an industry or even the entire economy. These forces are largely outside
the control of individual companies. Here's a breakdown of the major factors:
• Demographic factors: Population growth, age distribution, income levels, education
levels, and family structures. Demographic trends can have a significant impact on the
demand for a company's products or services.

Demographic factors in marketing environment

• Economic factors: Economic factors such as interest rates, inflation rates, economic
growth, and unemployment rates can affect consumer buying power and business
spending.

Economic factors in marketing environment

 • Natural factors: The availability of natural resources, weather patterns, and climate
change can all impact a company's costs, production, and distribution.

Natural factors in marketing environment

• Technological factors: Technological advancements can create new products and
services, new marketing channels, and new ways of doing business.

Technological factors in marketing environment

• Political factors: Government policies, regulations, and political stability can all affect a
company's business environment.
Political factors in marketing environment
• Social factors: Social factors include cultural values, attitudes, trends, and lifestyles.
These factors can influence what consumers buy, how they buy it, and how they use it.

Social factors in marketing environment

Understanding both the micro and macro environments is essential for businesses to develop
effective marketing strategies and achieve their marketing goals. By constantly monitoring and
analyzing the environment, businesses can identify opportunities and threats, and adapt their
marketing strategies accordingly.