Essay

1.

The Market environment is a marketing term and refers to factors and forces that affect a firm’s ability to build and maintain successful relationships with customers.

The Marketing environment represents a mix between the internal and external forces which surround an organization and have an impact upon it, especially their ability to build and maintain successful relationships with target customers.

2 & 3.

There are two divisions of the marketing environment:

* Micro-environment: suppliers, market transmitters, consumers, rivals.

* Macro-environment: social, technological, ecological, economical, political environment (STEEP).

Macro environmental factors include social, economic, political and legal influences, together with demography and technological forces. These are sometimes referred to as the PESTLE factors and are discussed in more detail inPESTLE analysis. The organization cannot control these forces, it can only prepare for changes taking place.

Larger societal forces that affect the microenvironment

Micro environment refers to the forces closely influencing the company and directly affect the organization’s relationships. The factors include the company and its current employees, its suppliers, marketing intermediaries, competitors, customers and the general public. These forces can sometimes be controlled or influenced and are explained in more detail in Porter’s 5 Forces.

Micro (internal) environment - small forces within the company that affect its ability to serve its customers.

 'Macro Environment' The conditions that exist in the economy as a whole, rather than in a particular sector or region. In general, the macro environment will include trends in gross domestic product (GDP), inflation, employment, spending, and monetary and fiscal policy.

4 and 5.

Micro Environment Factors

* The suppliers: Suppliers can control the success of the business when they hold the power. The supplier holds the power when...