3. 3
Marketing Environment
The market environment is a marketing term and
refers to factors and forces that affect an organization’s
ability to build and maintain successful relationships
with customers.
The marketing environment represents a mix
between the internal and external forces which
surround an organization and have an impact upon it,
especially their ability to build and maintain
successful relationships with target customers.
5. 5
Internal environmental factors are events that occur
within an organization. Generally speaking, internal
environmental factors are easier to control than external
environmental factors. Some examples of internal
environmental factors are as follows:
Internal environmental
Management changes
Employee morale
Culture changes
Financial changes and/or issues
Machinery and material
6. 6
Micro environment :
Micro environment refers to the forces closely
influencing the company and directly affect the
organization’s relationships. The factors include the
company and its current employees, its suppliers,
marketing intermediaries, competitors, customers
and the general public. These forces can sometimes
be controlled or influenced.
7. 7
Macro environmental factors include social,
economic, political and legal influences, together
with demography and technological forces. These
are sometimes referred to as the PEST factors. The
organization cannot control these forces, it can only
prepare for changes taking place.
Macro environmental
9. A PEST analysis should feed into a SWOT
analysis as it helps to determine the threats
and opportunities represented by macro-environment
forces that the organization usually cannot control. On
an international basis, it is best to perform the analysis
on a country-by-country basis because factors can
differ greatly between countries (or even regions).
