K.J. Somaiya College of Science and Commerce
Reaccredited by NAAC with Grade”A”
Bachelor of Management Studies
Seat number :15-8525
Project guide : PROF CETAN JIWANI
“It is useless to tell a river to stop running; the best thing
is to learn how to swim in the direction it is flowing.”
actors close to the company that affect its ability to serve its customers.
• Macro environment:
larger societal forces that affect the microenvironment.
Considered to be beyond the control of the organization.
(2)Components of Marketing Environment
• The micro-environment affects the organization directly. It refers to
the environment that most closely linked to the firm
• This environment is not also under the full control of business.
• The business is influence by this environment.
• Company organization consists of Board of Directors and functional
• Marketing plans are drawn up as per the philosophy of Top
• Marketing decisions like new products, expansion, etc depend on the
support of top management. It depends upon finance, managerial
skills, organization’s strengths and weaknesses.
• Provide resources needed to produce
goods and services.
• Important link in the “value delivery
• Most marketers treat suppliers like
• Marketers must watch supply availability
• Purchase requirements vary from
customer to customer
• influenced by cultural, social and
• They are large in number
• To be successful, a company must satisfy needs and wants of
consumers better than competitors
• A company should monitor three variables when analyzing each of
1. Share of Market
2. Share of Mind
3. Share of Heart
• One Must understand competitor’s strengths Must differentiate firm’s
products and offerings from those of competitors.
• A group that has an actual or potential interest in or impact on an
• Seven publics include:
• The major external and uncontrollable
factors that influence an organization's decision making, and affect
its performance and strategies. These factors include the economic
factors, demographics, legal, political, and social conditions,
technological changes, and natural forces.
• Specific examples of macro environment influences
include competitors, changes in interest rates, changes in cultural
tastes, disastrous weather, or government regulations.
• Demography is the study of
• Demographic Environment is a
major interest to marketers
• The economic environment
consist of factors affecting
power and spending
patterns both across and
within their world markets.
• The natural environment involves
the natural resources that are
needed as inputs by marketers or
that are affected by marketing
• Topographical factors may affect
the demand pattern.
• Ecological factors have recently
assumed great importance
• The technological environment is
perhaps the most dramatic force
now shaping our destiny.
• Forces that create new technologies,
create new product and market
• Technological Innovation.
• Role of research and development.
• The political environment consist
of laws, government agencies,
and pressure groups that
influence and limit various
organizations and individuals in
the given society.
• Has close relationship with the
economic system and economic
• Cultural Environment of a
nation determines the
value system of the society
which in turn affects the
functioning of the Business.
• Sociological factors
• Include factors
• Environmental Scanning is the
monitoring , evaluating and
disseminating of information
from the External and Internal
environments to key people
within the corporation.
• Corporation uses this tool to
avoid strategic surprise.
(4)Technique for Environmental Scanning
• Involves two phases: Information
gathering and Evaluating.
• Verbal and Written Information
• Search and Scanning