Published by: Mandira
Published date: 04 Feb 2022
Macro environment may have the following impact on marketing field:
Policy matter: Change in the form of government leads to change in government policy, which affects the business practices of the firms. Therefore, marketer also need to formulate new business policy to adjust to the changed government policy.
Production system and productivity: Change in the nature and level of technology in the market may affect the marketing of the firm’s product in the market place. Therefore, marketer need to import and adopt new technology to produce the products or services by the savvy customers.
Social life: Marketer go on adopting new technology over time according to the market demand, so may produce and offer something sophisticated or competitive products in the market. This may lead to change in social life of the people.
Market competition: Environmental forces are not rigid in nature; they go on changing over time creating new opportunities and threats to the business communities. This situation may create a new but healthy competition among the business communities.
Buying decision: Customer needs, wants, and requirements go on changing over time, which the marketers must understand correctly. Due to change in customer needs and preferences, government policies and change in technology in the market will lead to change in production system, product quality and services provisions in the market. As a result, the customers will enjoy grater range of product and service selection facilities in the market.
Pricing decision: Price is a sensitive factor in marketing buying decision for majority of customer. Though the main purpose of business community is to earn profit through better products and services, they may not be able to increase the price due to the high level of competition between them.
Sales and profit: Change in environmental forces creates both opportunities and threats in the business field, hence every business firm try to search for better opportunities that can sustain it business. Firms that are able to identify the opportunities properly and have the ability to adopt suitable strategies can improve their business in terms of both sales and profit level.
Natural resource conservation: Most of the manufacturing firms are dependent in the natural resource. However, with natural resources being exploited it has disturbed the natural environment. This exploitation of resources ultimately is affecting the human and their survival.