Gurus On Marketing

Analysing the market environment
Macro perspective
Organisations operate within the context of external environment.
Changes are constantly taking place at macro level and these changes
pose threats as well as provide opportunities for the organisations.
Analysing what changes are taking place and how the organisation
should respond to these changes become one of the key functions of
a market-oriented organisation.
At macro level changes are taking place relating to demographic environment,
economic environment, natural environment, technological
environment, political environment and cultural environment. Changes
within each category should be analysed and evaluated because they
become the sources of threats and opportunities.
At consumer level it is important to find out the consumers’ buying
behaviour. This behaviour is affected by cultural factors, social factors,
personal factors, and psychological factors.
From the information gathered, an organisation can ascertain the types
of buying behaviour that exist and the processes consumers go through
in order to arrive at buying decisions.
In addition, organisations should also try to understand the nature
of the business market. Organisations deal with businesses in order
to be able to provide goods and services. Business’s behaviour and
purchase decision-making needs to be understood in the same way
as the consumers’.
Finally it is important to analyse the industry in which companies are
involved and identify and analyse the company’s competitors. Information
should be gathered on who are the key competitors? What
are their strategies? What are their strengths and weaknesses?
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GURUS ON MARKETING