Download The Uncontrollable and Controllable Factors of Marketing in

The Uncontrollable and
Controllable Factors of Marketing
in Globalized Economy

Controllable factor - often called as "Marketing
Mix". It includes: Product, Price, Place and
Promotion. Which can be control by organization.

Uncontrollable factors- often called as
"Environmental Factors“ which are out of control.
MICRO ENVIRONMENT
Controllable factors
Actors
 Marketing
1. The company
2. Suppliers
3. Marketing
intermediaries
must
consider other parts
of the organization
including finance,
R&D, purchasing,
operations and
accounting
4. Customers
5. Competitors
6. Publics
3-5
Goal 1: Describe environmental factors
Controllable factors
Actors
 Marketers
1. The company
2. Suppliers
3. Marketing
intermediaries
4. Customers
must watch
supply availability and
pricing
 Effective
partnership
relationship management
with suppliers is essential
5. Competitors
6. Publics
3-6
Goal 1: Describe environmental factors
Controllable factors
Actors
 Help
1. The company
2. Suppliers
3. Marketing
intermediaries
4. Customers
5. Competitors
to promote, sell and
distribute goods to final
buyers
 Include resellers, physical
distribution firms, marketing
services agencies and
financial intermediaries
 Effective partner
relationship management is
essential
6. Publics
3-7
Goal 1: Describe environmental factors
Controllable factors
Actors
 The
five types of
customer markets
1. The company
 Consumer(FMCG)
2. Suppliers
 Business(IT
3. Marketing
intermediaries
4. Customers
5. Competitors
6. Publics
Consulting &
Outsourcing)
 Reseller(Super market
Chains)
 Government(Army, Navy,
Postal services)
 International
3-8
Goal 1: Describe environmental factors
Microenvironment
Actors
 Conducting
1. The company
2. Suppliers
3. Marketing
intermediaries
4. Customers
competitor
analysis is critical for
success of the firm
 A marketer must monitor
its competitors’ offerings
to create strategic
advantage
5. Competitors
6. Publics
3-9
Goal 1: Describe environmental factors
Controllable factors
Actors
A
1. The company
2. Suppliers
3. Marketing
intermediaries
4. Customers
5. Competitors
group that has an
actual or potential
interest in or impact on
an organization
 publics include:
 Financial
 Media
 Government
 Local
 General
6. Publics
3 - 10
Goal 1: Describe environmental factors
MACRO ENVIRONMENT
Uncontrolled Factors






Political Conditions
Economic Conditions
Socio-Cultural Conditions
Technological Conditions
Legal Conditions
Competition
Demographic forces

Different market segments are typically impacted
by common demographic forces, including
country/region; age; ethnicity; education level;
household lifestyle; cultural characteristics and
movements.
Technological Conditions


Technological factors include ecological and environmental
aspects, such as R&D activity, automation, technology incentives
and the rate of technological change.
They can determine barriers to entry, minimum efficient
production level and influence outsourcing decisions.
Furthermore, technological shifts can affect costs, quality, and
lead to innovation
Natural Environment

Natural Environment:
 Involves
the natural resources that are needed as
inputs by marketers or that are affected by
marketing activities

Trends
 Shortages
of raw materials
 Increased pollution
 Increased government intervention
3 - 15
Political Forces





The political environment includes the characteristics
and policies of the political party, the nature of the
constitution and the government system and
environment encompassing the economic and business
policies. The most important policies are:
Industrial Policy
EXIM and Trade Policy
Fiscal Policy
Economic Forces


Global factors that are outside of the control of individual
organizations, but that can affect the way that businesses
operate.
Economic factors include:





Unemployment rates,
Inflation rates,
Labor costs,
Per capita income,
Market size
Socio-Cultural Forces





Social environment also affects the motives to
make a buying decision and the communication
strategy needs to be customized as per the
varied social traits for different market.
Education and Language
Social Organization
Reference Group and Family
Role and Status in Society
Competition
•
•
The competition in international market includes products
imported from various parts of the world and also from
the goods produced domestically in the target markets.
The products imported from other competing countries
that have significantly different business environment
affect the competitiveness of the products.