Ch3- Analyzing the Marketing Environment

Are the companies capabilities', it's competition, and its corporate partners.

Successful marketing firms focus their efforts on satisfying customer needs that match their core competencies. Such as when Apple with the design of their products.

Competition is also significantly affects consumers- more competition means more choices for consumers. Important for firms to understand competitions strengths and weaknesses in order to make certain changes to their own.

Used by firms to collect and synthesize information about their position with respect to their rivals; enables companies to anticipate changes in the marketplace rather than merely react to them.

The firms that work along with the focal firm to provide goods and services to consumers. Example is Nau a clothing company worked with other organization to create sustainably made gym clothing.

Aspects of the external environment- culture, demographics, social trends, technological advances, economic situation, and political/legal environment (CDSTEP) that affect companies.

Shared meaning, beliefs, morals, values, and customs of a group of people. Various cultures influence what, why, how, where and when we buy.

Entails easy to spot, visible nuances that are particular to a country, such as dress, symbols, ceremonies, languages, colours, and food preferences, and more subtle aspects, which are trickier to identify. BMW has successfully bridged cultural gap by producing ads that appeal to the same market across countries.

One region in Canada has different preferences then another. For example in Quebec prepared meals aren't as popular as they are in Quebec.

Characteristic of human populations and segments, especially those used to identify consumers markets, such as age, gender, income, race, ethnicity, and education. Best used to determine which ads should play after which shows to appeal to their target customers.

A group of people of the same generation- typically have similar purchase behaviours because they have share experiences and are in the same stage of life.

Generational cohort of people who are not quite teenagers but are not young childern either (ages 9-12) they're in between. Have a huge influence on what money is spent on, not an easy group to sell too, they lose interest very easily.

Generational cohort of people between the ages of 13 and 32. The biggest cohort since the original post war baby boomers. Very smart buyers, and careful with their money.

Generational cohort of people between the ages of 36 and 47. Possess great spending power because they tend to wait for marriage and less interested in shopping since from an early age they experienced recessions and learnt how to spent wisely later on.

Generational cohort of people born after World World 2; are between the ages of 48 and 66. Largest cohort, spends a lot of money.

North America's fastest growing generational cohort; people aged 65 and older. They have the most time to spend money and have the most money but are very picky and need lots of time before deciding to buy or not.

Involves a strategic effort by firms to supply customers with environmentally friendly merchandise.

Technological changes that have contributed to the improvement of the value of both products and services in the past few decades.

Economic changes that affect the way consumers buy merchandise and spend money; see inflation, foreign currency fluctuations, interest rates and recession.

Refers to the persistent increase in the prices of goods and services.

Changes in the value of a country's currency of another country; can influence consumer spending.

Represent the cost of borrowing money.

A period of economic downturn when the economic growth of the country is negative for at least a couple of consecutive quarters.

Comprises political parties, government organizations, and legislation and laws that promote or inhibit trade and marketing activities.