Special Topic Part2 for BSBA-4MM

1. Scanning the Environment
Marketing Management by:Sylvia O. Liao

2. 3-2
Chapter Questions
• What are the key methods for tracking and
identifying opportunities in the macro
environment?
• What are some important macro environment
developments?

3. 3
Needs and Trends
Fad
Trend
Megatrend

4. 4
Trends Shaping the
Business Landscape
• Profound shifts in
centers of economic
activity
• Increases in public-
sector activity
• Change in consumer
landscape
• Technological
connectivity
• Scarcity of well-trained
talent
• Increase in demand for
natural resources
• Emergence of new
global industry
structures
• Ubiquitous access to
information
• Management shifts
from art to science
• Increase in scrutiny of
big business practices

5. 5
Environmental Forces
Demographic
EconomicPolitical-Legal
Socio-CulturalTechnological
Natural

6. 6
Population and Demographics
• Population growth
• Population age mix
• Ethnic markets
• Educational groups
• Household patterns
• Geographical shifts

7. 3-7 Copyright © 2009
Mattel
Markets in
China

8. 8
Population Age Groups
Preschool
School-age
Teens
25-40
40-65
65+

9. 9
Schwab’s Chinese-language Web site

10. 10
Household Patterns

11. 11
Economic Environment
• Income Distribution
• Savings, Debt, and
Credit
• Levi’s has responded to
changes in income
distribution by offering
an upscale line and a
mass market line

12. 12
Social-Cultural Environment
Views of themselvesViews of themselves
Views of othersViews of others
Views of natureViews of nature
Views of organizationsViews of organizations
Views of societyViews of society
Views of the universeViews of the universe

13. 13
Interest in Nature: A Growing Trend

14. 14
Natural Environment
Shortage of
raw materials
Increased
energy costs
Anti-pollution
pressures
Governmental
protections

15. 15
Table 3.3 Most Popular
American Leisure Activities
• Reading
• TV watching
• Spending time with
family
• Going to movies
• Fishing
• Computer activities
• Gardening
• Renting movies
• Walking
• Exercise
• Listening to music

16. 16
Toyota Experienced Success
with Green Cars

17. 17
Figure 3.1 Consumer
Environmental Segments
True Blue Greens (30%)
Greenback Greens (10%)
Sprouts (26%)
Apathetics (18%)
Grousers (15%)

18. 18
Keys to Avoiding
Green Marketing Myopia
• Consumer Value Positioning
• Calibration of Consumer Knowledge
• Credibility of Product Claims

19. 19
Technological Environment
Pace of change
Opportunities
for innovation
Varying R&D
budgets
Increased regulation
of change

20. 20
Political-Legal Environment
Increase in
business legislation
Growth of special
interest groups

21. 21
Marketing Discussion
 What brands do you feel
successfully speak to you?
 Effectively target your age group?
 Which ones do not?
 What could they do better?

22. 22
Marketing Debate
 Is consumer behavior more a function
of a person’s age or generation?
Take a position:
1. Age differences are fundamentally
more important than cohort effects.
or
2. Cohort effects can dominate age
differences.