BUSI 2201U Chapter Notes - Chapter 3: Market Environment, Disposable And Discretionary Income, Gross Income
Document Summary
Changes in the marketing environment are a source of opportunities and threats to be managed. Environmental scanning is the process of continually acquiring information on events occurring outside the organization to identify and interpret potential trends. Environmental scanning is critically important to marketers who wish to ensure that they remain aligned with the evolving marketplace. Environmental trends typically arise from five sources: social, economic, technological, competitive, and regulatory forces. These forces affect the marketing activities of a firm in numerous ways. A firm conducting an environmental scan of the marketplace might uncover key trends, such as those listed. The list of trends is far from complete, it reveals the breadth of an environmental scan. Social forces are of the environment that include the demographic characteristics of the population and its values. Demographics is the study of the characteristics of a human population. These characteristics include population size, growth rate, gender, marital status, ethnicity, income, and so forth.
