A particular problem may exist with how ethical factors relates to legal forces as they may be at different stages in development. Technological advancements such as the internet offer retail customers additional shopping options.
Technology also opens new retail markets, with auction platforms like eBay and web-based retailers such as Amazon. Technological factors refer to the rate of new inventions and development, changes in information and mobile technology, changes in internet and e-commerce or even mobile commerce, and government spending on research.
The study of these environments will help to know the strength, weakness, opportunity and threat of business. Economic factors represent the wider economy so may include economic growth rates, levels of employment and unemployment, costs of raw materials such as energy, petrol and steel, interest rates and monetary policies, exchange rates and inflation rates.
The macro environment includes economic, technological, societal and governmental influences. The firm itself is an aggregate of a number of elements like owners like shareholders or investors, employees and the board of directors.
Those who sell same or similar products and services as your organisation are your market competition, and they way they sell needs to be taken into account.
This force could include corporate social responsibility, fair trade, affiliation between corporations and charities. Social and cultural forces: The Role of Social Factors Changes in social values and trends impact the goods retailers sell and how retailers relate to consumers.
Legal needs to be complied with whereas Political may represent influences, restrictions or opportunities, but they are not mandatory. Political and legal forces: The skills and knowledge applied to the production, and the technology and materials needed for production of products and services can also impact the smooth running of the business and must be considered.
Treadwell provides content to a number of prominent organizations, including Wise Bread, FindLaw and Discover Financial. Micro Environment Factors The suppliers: The impact the products and services your organisations brings to market have on society must be considered.
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.
They may include demographics, age distribution, population growth rates, level of education, distribution of wealth and social classes, living conditions and lifestyle. The public have the power to help you reach your goals; just as they can also prevent you from achieving them.
So, they are more complementary rather than contradictory. The difference between Political and Legal factors is that Political refers to attitudes and approaches, whereas Legal factors are those which have become law and regulations.
However, government policies can also hinder businesses by imposing regulations that increase costs, such as requiring the development and integration of new systems or procedures or establishing a minimum wage that small retailers may not be able to afford.
The Role of Government Laws, regulations and other government policies can have a number of positive or negative effects on the retail industry. The retail industry is often under pressure to develop and implement socially responsible business practices, such as selling environmentally-friendly products, placing warnings or restrictions on potentially harmful goods, and removing recalled or controversial products from the shelves.
For more information about the marketing diploma qualification and studying with Oxford College of Marketing, call Dave Charlton on 0 or email enquiries oxfordpeg. The Role of Economic Factors Retail sales are driven by the economic environment.
Economic and governmental factors often overlap in areas such as corporate taxation, import and export laws, and inflation, which can decrease consumer purchasing power.
These forces are very particular for the said business only. They are considered as the king of business. Government assistance, such as government-backed loans and subsidies, can help fledgling retailers grow or allow an established company to keep costs low for consumers.
However, the macroeconomic variables are uncontrollable. Point-of-sale systems increase sales by allowing retailers to process cash, check, credit- and debit-card payments. The important principle is identifying the key factors from the wider, uncontrollable external environment that might affect the organization The PESTLE Factors We start with the Political forces.
It is dynamic in nature. It consists of individuals, groups, organizations, agencies and others with which the firm deals during the course of its business.
Marketing intermediaries may include wholesalers, distributors, and retailers that make a link between the firm and the customers. If the product the organisation produces is taken to market by 3rd party resellers or market intermediaries such as retailers, wholesalers, etc.
Ethics and morals serve as guidelines on how to act rightly and justly when individuals are faced with moral dilemmas. For example, if a retail seller is a reputable name then this reputation can be leveraged in the marketing of the product.
Retailers that fail to conform to new social norms often lose business to companies that are willing to adapt to changing societal values. However, these are all merely variations on a theme.
There is often a tendency to focus Technological developments on digital and internet-related areas, but it should also include materials development and new methods of manufacture, distribution and logistics.
These may also vary from one country to another.Micro Environment Macro Environment; Meaning: Micro environment is defined as the nearby environment, under which the firm operates. Macro environment refers to the general environment, that can affect the working of all business enterprises.
Elements: COSMIC, i.e. Competitors, Organization itself, Suppliers, Market, Intermediaries and. Jun 29, · Unlike the micro environment of a retail store, companies in the retail industry usually cannot influence or change the macro environment and must adapt to changes as they arise.
micro environment analysis of samsung The aim of this section is to conduct an internal environment analysis of Samsung which will investigate the environment in which Samsung operates in.
components of the analysis will be those in which the company has control over, as known as internal environment. MICRO AND MACRO MARKETING ENVIRONMENT Introduction Micro marketing Refers to the internal controllable factors or forces which affects the ability of a company to serve its customers.
e.g. the organization, the market, the suppliers, market intermediaries and the marketing mix. PESTLE - Macro Environmental Analysis.
The PESTLE Analysis is a framework used to scan the organization’s external macro environment. The letters stand for Political, Economic, Socio-cultural, Technological, Legal and killarney10mile.com approaches will add in extra factors, such as International, or remove some to reduce it to PEST.
x Understand the problems of dealing with the micro and macro environments. industry. Micro environment Factors that affect one firm only.
Internal environment Factors THE MARKETING ENVIRONMENT 33 such items as computers or office equipment – all such tenders must be thrown open.Download