Week 3: 9/17/2013 LECTURE
Ch. 3 Analyzing the Marketing Environment: Micro 3C and Macro CDSTEP
Micro Components: company, competition, corporation profits
1. Company Capabilities
- What we are strong at
- Apply knowledge to new products
- Apple strong in design, manufacturing, promo, and distribution of Mac cpus.
o Led to digital audio products: iPod, iPhone, iPad
o Transferred core competencies from Mac to other products
- Pepsi known for carbonated beverages
o Strength in soda but people are becoming more health conscious
o Limited growth
o Take their skills in this area -> water
2. Analyze Competitors (indirect + direct)
- Identify and analyze direct and indirect competitors
- Know strengths & weaknesses
- Competitive Intelligence (CI) used to collect and synthesize info
• Should we compete?
• If so, in what markets should we compete?
• How should we compete?
When Apple intro new cpu, nobody’s surprised b/c they’re well known.
3. Corporate Partners help bring products to markets at right time/price
Macro – can’t control but have to monitor it
Culture . The shared meanings, beliefs, morals, values, and customs of a group of people.
Country. Entails easy-to-spot visible nuances that are particular to a country, such as dress,
symbols, ceremonies, language, colours, and food preferences, and more subtle aspects,
which are trickier to identify.
Regional. The region in which people live in a particular country affects the way they react
to different cultural rituals, or even how they refer to a particular product category.
Demographics. Characteristics of human populations and segments, especially those used to identify
consumer markets, such as age, gender, income, race, ethnicity, and education.
- doesn’t give full insight: people are mentally different
Generation cohort. Similar purchase behaviour b/c of shared experiences and life stage.
o Tweens (age 9-12) food/drink, electronics, clothing, grew up w/ tech
o Gen Y (teens-young adults) tech savvy; love digital electronics
o Gen X (36-47) less interested in status products
o Baby Boomers. (48-66) after WWII – obsessed w/ maintaining youth, leisure is
high priority, individualistic
o Seniors (>65) conservative spending, like “made in Canada”, value, classic style