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2011-2012
        UNIVERSITA’ DEGLI STUDI DI TRIESTE
                  MARKETING
              FINAL PRESENTATION



ANALYSIS OF THE TURKISH MACRO-ENVIRONMENT
CONTENT:
    THE MACRO ENVIRONMENT ANALYSIS (PEST
    ANALYSIS)
   HOW TO DO MACRO ENVIRONMENT ANALYSIS?
   TYPES OF MACRO ENVIRONMENT ANALYSIS
   POLITICAL FACTORS
    TABLE 1: Major Issues of Factors of the Macro
    Environmental Analysis
   ECONOMIC FACTORS
   SOCIAL – CULTUREL FACTORS
    TABLE 2 : Quarterly Population Growth Rate in
    Turkey      TABLE 3 : Population by Urban -
    Rural Distribution in Turkey
   TECHNOLOGICAL FACTORS
   EXAMPLE OF PEST ANALYSIS
    Pest Analysis of Pepsi
THE MACRO ENVIRONMENT ANALYSIS
( PEST ANALYSIS )




 The macro environmental analysis is the first step in
 creating
 the Environmental Analysis. The macro environment
 examines the general business climate as it relates to the
 organization.

 The macro environment is primarily concerned with
 major issues and upcoming changes in the environment.
 The acronym for the macro analysis is “PEST.” The four
 areas of interest are Political; Economic; Social-cultural
 and Technological.
HOW TO DO MACRO ENVIRONMENT
    ANALYSIS?
     In terms of assessing and analyzing the industry, it important to consider
    the following :

   What industry does your business fall under? For example; mining
    industry, motor vehicle industry, textile industry, agricultural industry, pulp
    and paper industry and many more.
   Do you have an understanding of where the industry has come from (past),
    where the industry is today (present), and where the industry is going
    (future)?
   What is the size of your industry?
   Is the industry growing or declining?
   What are the key trends in the industry?
   Who are the key players in the industry?
   What are the risks associated with the industry?
   What are the key success factors?
   What are the barriers to entry?
   Do you have an understanding of the value chain? Consider the entire
    value chain from the Manufacturer to the final consumer.
TYPES OF MACRO ENVIRONMENT ANALYSIS
      Political
                                         Economic
   Taxation policy
                                           The general economicsituation in the world
   Trade regulations                      International economic organizations
    Government stability                  Business cycles
   Unemployment policy                    Inflation and exchanges rates
    Goverrnment legislation               Economic growth and changes in GNP and
                                            GDP
   Government policies                    Interest rates
    Government stance on competition      Tax rates
   Relevant laws                          Resources of money and credit, insecurity
                                            status
   International relations
                                           The existence of labor force
                                           Energy existence and cost
                                           Unemployment levels
      Social- Culturel
   Age distribution
                                         Technological
   Education level
                                           Technological changes
   Income level                           Innovations
   Population growth                      Speed of technonogical changes
   Life expectancies                      Research and development expenditures
   Religion                               Improved communication and knowledge
                                            transfer
POLITIC FACTORS :
     The macro environment analysis will identify changes in
    the position politicians take on issues. A current example
    is a shift towards greener policies in the developed world.
    Some of political factors are as follows :

   Taxation policy
   Trade regulations
   Government stability
   Unemployment policy
   Goverrnment legislation
   Government policies
   Government stance on competition
   Relevant laws
   International relations
ECONOMIC FACTORS :
     The macro economic environment analysis will identify trends
    such as changes in personal disposable income, interest rates,
    inflation and unemployment rates. Typically we encounter the
    economic factors are as follows :

   The general economic situation in the world
   International economic organizations
   Business cycles
   Inflation and exchanges rates
   Economic growth and changes in GNP and GDP
   Interest rates
   Tax rates
   Resources of money and credit, insecurity status
   The existence of labor force
   Energy existence and cost
   Unemployment levels
SOCIAL - CULTURAL FACTORS :

     The macro social-cultural environment analysis will
    identify trends in societies beliefs, behaviors, values
    and norms. Such as the number of workers, attitudes
    towards global warming, make up of the family
    structure. Some of the social – cultural factors are as
    follows :

   Age distribution
   Education level
   Income level
   Population growth
   Life expectancies
   Religion
QUARTERLY POPULATION GROWTH RATE IN
TURKEY

          Periods    Population Growth Rates
         1955-1960            28,53
         1960-1965            24,62
         1965-1970            25,19
         1970-1975            25,01
         1975-1980            20,65
         1980-1985            24,88
         1985-1990            21,71
         1990-2000            18,3
POPULATION BY URBAN-RURAL DISTRIBUTION
IN TURKEY
                   Population of Urban             Population of Rural


            Number (million)        %     Number (million)               %
    Years
    1955         6,927             28,8        17,137                71,2
    1960          8,86             31,9        18,695                68,1
    1965         10,806            34,4        20,585                65,6
    1970         13,691            38,5        21,914                61,5
    1975         16,869            41,8        23,479                58,2
    1980         19,645            43,9        25,092                56,1
    1985         26,866             53         23,799                    47
    1990         33,326             59         23,147                    41
    1997         40,882             65         21,983                    35
TECHNOLOGICAL FACTORS :
     The macro technological environment analysis
    will identify changes in the application of
    technology. A current example is a shift towards
    online transactions and in some areas a shift
    away from online transactions. There are some
    technological factors that affect macro
    environment analysis are as follows :

   Technological changes
   Innovations
   New or improved channels
   Speed of technonogical changes
   Research and development expenditures
   Improved communication and knowledge
EXAMPLE OF PEST ANALYSIS
    PEST ANALYSIS OF PEPSI :

   The PEST analysis method has been successfully applied by Pepsi, which
    has obtained economic advantage in its industry. The PEST analysis
    method and examples specific to Pepsi are seen in the following factors:
   Political: The manufacture, delivery, and use of numerous Pepsi products
    are subject to many federal regulations, like the Food, Drug and Cosmetic
    Act. The business is also governed by government and foreign rules. The
    international business is subjected to the political stability.
   Economic: The products of Pepsi are influenced by the raw material yield
    being used in the soft drinks, juices, etc. All distribution is affected by the
    cost of fuel. Operations in international markets involve the study of
    unpredictable changes in foreign exchange rate. The economic impacts of
    such movements are serious because these affect the growth. Pepsi is
    also subjected to availability of energy, supply of money, business cycles,
    etc.
   Social - Culturel: Lifestyle has great influence on the use of Pepsi
    products, and their advertisements are designed accordingly. Introduction
    of Pepsi products in the international market requires an in depth study of
    the local social structure.
   Technology: Pepsi is influenced by the modern manufacturing techniques
    applicable to their business divisions of soft drinks, juices, and snack
    food. Pepsi has to focus on the latest distribution techniques, and other
by ASLI
BOZKURT
            E 79 000
114

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Marketing Management

  • 1. 2011-2012 UNIVERSITA’ DEGLI STUDI DI TRIESTE MARKETING FINAL PRESENTATION ANALYSIS OF THE TURKISH MACRO-ENVIRONMENT
  • 2. CONTENT:  THE MACRO ENVIRONMENT ANALYSIS (PEST ANALYSIS)  HOW TO DO MACRO ENVIRONMENT ANALYSIS?  TYPES OF MACRO ENVIRONMENT ANALYSIS  POLITICAL FACTORS TABLE 1: Major Issues of Factors of the Macro Environmental Analysis  ECONOMIC FACTORS  SOCIAL – CULTUREL FACTORS TABLE 2 : Quarterly Population Growth Rate in Turkey TABLE 3 : Population by Urban - Rural Distribution in Turkey  TECHNOLOGICAL FACTORS  EXAMPLE OF PEST ANALYSIS Pest Analysis of Pepsi
  • 3. THE MACRO ENVIRONMENT ANALYSIS ( PEST ANALYSIS ) The macro environmental analysis is the first step in creating the Environmental Analysis. The macro environment examines the general business climate as it relates to the organization. The macro environment is primarily concerned with major issues and upcoming changes in the environment. The acronym for the macro analysis is “PEST.” The four areas of interest are Political; Economic; Social-cultural and Technological.
  • 4.
  • 5. HOW TO DO MACRO ENVIRONMENT ANALYSIS? In terms of assessing and analyzing the industry, it important to consider the following :  What industry does your business fall under? For example; mining industry, motor vehicle industry, textile industry, agricultural industry, pulp and paper industry and many more.  Do you have an understanding of where the industry has come from (past), where the industry is today (present), and where the industry is going (future)?  What is the size of your industry?  Is the industry growing or declining?  What are the key trends in the industry?  Who are the key players in the industry?  What are the risks associated with the industry?  What are the key success factors?  What are the barriers to entry?  Do you have an understanding of the value chain? Consider the entire value chain from the Manufacturer to the final consumer.
  • 6. TYPES OF MACRO ENVIRONMENT ANALYSIS Political Economic  Taxation policy  The general economicsituation in the world  Trade regulations  International economic organizations  Government stability  Business cycles  Unemployment policy  Inflation and exchanges rates  Goverrnment legislation  Economic growth and changes in GNP and GDP  Government policies  Interest rates  Government stance on competition  Tax rates  Relevant laws  Resources of money and credit, insecurity status  International relations  The existence of labor force  Energy existence and cost  Unemployment levels Social- Culturel  Age distribution Technological  Education level  Technological changes  Income level  Innovations  Population growth  Speed of technonogical changes  Life expectancies  Research and development expenditures  Religion  Improved communication and knowledge transfer
  • 7.
  • 8. POLITIC FACTORS : The macro environment analysis will identify changes in the position politicians take on issues. A current example is a shift towards greener policies in the developed world. Some of political factors are as follows :  Taxation policy  Trade regulations  Government stability  Unemployment policy  Goverrnment legislation  Government policies  Government stance on competition  Relevant laws  International relations
  • 9. ECONOMIC FACTORS : The macro economic environment analysis will identify trends such as changes in personal disposable income, interest rates, inflation and unemployment rates. Typically we encounter the economic factors are as follows :  The general economic situation in the world  International economic organizations  Business cycles  Inflation and exchanges rates  Economic growth and changes in GNP and GDP  Interest rates  Tax rates  Resources of money and credit, insecurity status  The existence of labor force  Energy existence and cost  Unemployment levels
  • 10. SOCIAL - CULTURAL FACTORS : The macro social-cultural environment analysis will identify trends in societies beliefs, behaviors, values and norms. Such as the number of workers, attitudes towards global warming, make up of the family structure. Some of the social – cultural factors are as follows :  Age distribution  Education level  Income level  Population growth  Life expectancies  Religion
  • 11. QUARTERLY POPULATION GROWTH RATE IN TURKEY Periods Population Growth Rates 1955-1960 28,53 1960-1965 24,62 1965-1970 25,19 1970-1975 25,01 1975-1980 20,65 1980-1985 24,88 1985-1990 21,71 1990-2000 18,3
  • 12. POPULATION BY URBAN-RURAL DISTRIBUTION IN TURKEY Population of Urban Population of Rural Number (million) % Number (million) % Years 1955 6,927 28,8 17,137 71,2 1960 8,86 31,9 18,695 68,1 1965 10,806 34,4 20,585 65,6 1970 13,691 38,5 21,914 61,5 1975 16,869 41,8 23,479 58,2 1980 19,645 43,9 25,092 56,1 1985 26,866 53 23,799 47 1990 33,326 59 23,147 41 1997 40,882 65 21,983 35
  • 13. TECHNOLOGICAL FACTORS : The macro technological environment analysis will identify changes in the application of technology. A current example is a shift towards online transactions and in some areas a shift away from online transactions. There are some technological factors that affect macro environment analysis are as follows :  Technological changes  Innovations  New or improved channels  Speed of technonogical changes  Research and development expenditures  Improved communication and knowledge
  • 14. EXAMPLE OF PEST ANALYSIS PEST ANALYSIS OF PEPSI :  The PEST analysis method has been successfully applied by Pepsi, which has obtained economic advantage in its industry. The PEST analysis method and examples specific to Pepsi are seen in the following factors:  Political: The manufacture, delivery, and use of numerous Pepsi products are subject to many federal regulations, like the Food, Drug and Cosmetic Act. The business is also governed by government and foreign rules. The international business is subjected to the political stability.  Economic: The products of Pepsi are influenced by the raw material yield being used in the soft drinks, juices, etc. All distribution is affected by the cost of fuel. Operations in international markets involve the study of unpredictable changes in foreign exchange rate. The economic impacts of such movements are serious because these affect the growth. Pepsi is also subjected to availability of energy, supply of money, business cycles, etc.  Social - Culturel: Lifestyle has great influence on the use of Pepsi products, and their advertisements are designed accordingly. Introduction of Pepsi products in the international market requires an in depth study of the local social structure.  Technology: Pepsi is influenced by the modern manufacturing techniques applicable to their business divisions of soft drinks, juices, and snack food. Pepsi has to focus on the latest distribution techniques, and other
  • 15. by ASLI BOZKURT E 79 000 114