Question

1. Describe the major forces in the company's macroenvironment and briefly explain different Generations. How should marketers respond to the changing environment?

Answer 1

Understanding the different forces of the macro environment for every organisation if effectively tapped by using the PESTLE analysis:

Political Factors:Political fcators refers to the government, political parties and other government officials and policies of the countries that could hinder in the operations of your business. An organisation should ensure that the workings are under the political obligations of the country.

Economical Factors: All the factors related to the economy being it price inflation, employement, stock market, resources, demand, supply constitute the economical factors. Having a good knowledge about the economical factors helps the company to sustain and effectively tap the opportunities and resist the threats while operating.

Social Factors: Social factors involves all the cultural norms, religions, morals and the values hared by the people in the market of the organisation. As organisation survives in a society, it is a moral duty and obligation of the company to be socially responsible and do good for the society too.

Technological Factors: All the latest technology, the upgrades, the new IT systems comprises the technological environment. The technological factor has a great impact on the company making the company into more productive firm by tapping the right opportunity.

Legal Factors: All the tax duties, subsidies, legal and the contractual framework which is forced upon the organisation for its operations and activities comprises the legal environment. Thus, it is ethically good for the organisation to work under the legal environment and follow all the legal laws.

Environmental Factors: At last, all the sustainable environment activities, the pollution created by the company and how it is invading and destroying the natural earth describes the environmental factors for the company. It is socially and morally correct and also a part of CSR activity to be environment friendly and many laws and policies have been made now for every company to reduce carbon footprint.

Different generations is a concept of the changing environment. Every environment consists of different population and different people of different age groups. It is a well understood fact that every generation would demand different products have different needs and want from the organisation. A younger generation would want variety, upgraded and quantity in their products in comparatively lesser price. On the other hand, older generations would want quality, stability and reliability in the product. They won't mind paying more but want higher customer services. Thus, a company should properly evaluate the changing market to grab the opportunities and resist the threats in the market. By analysing the different changes happening around, an organisation would have the benefit of grabbing the opportunities to grow more and acquire more and on the other hand it would also make the organisation aware about the prevailing threats which the company could easily dodge off in the amount of time. Change is Constant, the effective strategy to how efficiently an organisation evalautes and deals with the changes, is the real game.