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Example research essay topic: Understanding The External Marketing Environment - 1,415 words

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... ns While most people are willing to work for large organizations, and expect them to carry out society's work, the late 1980 's saw a sharp decrease in confidence and loyalty toward American businesses and political organizations. This suggests that organizations must find new ways to win consumer confidence, perhaps by supporting worthy causes and an increase in spending on public relations People's Views of Society: Patriots defend it, reformers want to change it, and malcontents want to leave it. People's views of our society influences their consumption patterns, levels of spending and saving, and attitudes toward the marketplace. The 1980 's and 90 's have seen a significant surge in patriotism (after a low point during the Viet Nam War), and the cry of "Buy American" and "Made in the USA" has been taken up with renewed vigour. People's Views of Nature: There's been a definite change of attitudes toward nature in the past decade.

We used to believe we could control nature through technology; now we know that we can easily destroy nature if we are not careful. Nature cannot be controlled -- we must learn to adopt a lifestyle that is more in harmony with nature People's Views of the Universe: People vary in their beliefs about the origin of the universe and their place in it. Although most Americans practice some form of religion, religious conviction and service have been declining over the years as people seek more immediate means of gratification. There are, however, indications that "spirituality is in, " as reflected in many organizations' advertising efforts (e. g. IBM showing nuns on their way to vespers talking about the OS/ 2 network and surfing the net, Gatorade showing The society in which people grow up shapes their beliefs, values and norms.

People absorb, almost unconsciously, a worldview that defines their relationship to themselves, to others, to nature, and to the universe. The cultural environment is made up of institutions and other forces that affect society's values, perceptions, preferences and behaviours. The Natural Environment Involves the natural resources needed as marketing inputs or that are affected by marketing activities. Environmental concerns have grown steadily during the past twenty years. The 1990 's have been called "The Earth Decade" as the natural environment has become a major issue facing the global marketplace.

In many cities around the world, air and water pollution have reached dangerous levels. There is growing concern about the "hole" in the ozone layer and the "Greenhouse Effect" (global warming). The amount of garbage generated every day has some environmentalists concerned that we may soon be buried in our own trash. Trends in the Natural Environment Today's marketing managers should be aware of the following four trends occurring in the natural environment: 1 -- Shortages of Raw Materials Air and water may appear to be infinite resources, but even the most casual observer would say that these resources are under assault from our industrial mechanisms.

Water shortages are prevalent in many parts of the world, including some areas of the United States, and one has only to look outside the window in most of our major cities and "see" the air to know that clean air is a very scarce resource indeed Renewable resources, such as forests and food, must be used wisely. Forestry companies are required to reforest timberland's to prevent soil erosion and ensure sufficient wood supplies to meet future demand. Food supply is already a major problem because more and more of the world's farmland is being converted to residential neighborhoods. 2 -- Increased Cost of Energy The cost of energy makes long-term growth of high-energy industries and goods difficult to predict. Much of that energy is used to produce goods and services. But much is used to distribute them, too. Oil has created the most serious problem for future economic growth, as the major industrial economies depend heavily on it.

Until economical energy substitutes can be developed, oil will dominate the world political and economic picture. Large increases in the price of oil (such as those that resulted from the 1973 OPEC embargo), and threats to its availability (such as Iraq's invasion of Kuwait that led to Operation Desert Storm) have spurred the search for alternative forms of energy. 3 -- Increased Pollution Growth of industry almost always damages the natural environment. The so-called "green movement" seeks to operate businesses in such a way so as not to damage the natural environment. Their platform covers two dozen areas from agriculture to water. International marketers must consider the varying political power of "greens" in different countries. For example, the All-Russian Society for Environmental Protection/Sverdlovsk Regional Council - Green Movement Association bills itself as "the oldest non-government ecological organization in Sverdlovsk Oblast. " The Association was founded in 1924 and a wise marketer might take them into account before penetrating too far into the Middle Urals.

Public concern about pollution has created marketing opportunities for some companies. There is a large market for pollution control systems, such as recycling centers and landfills, and consumers are seeking out ecologically responsible companies to give their business to. 4 -- Government Intervention in Natural Resource Management Governments vary in their concern and efforts to promote a clean environment. For example, the German government is vigorous in its pursuit of environmental quality because of the strong green movement in German. In the United States, the Environmental Protection Agency (EPA) was created in 1970, with the objective of setting and enforcing pollution standards and to conduct research on the causes and effects of pollution. Foreign companies doing business in the U. S.

are facing stronger controls from government and a more informed and concerned consumer population. The role of government in managing natural resources also blends into the legal environment. Marketers must take care in identifying natural environmental trends and take into account government regulations. Instead of opposing regulation, marketers should help to develop solutions to the material and energy problems facing industry today and tomorrow. CONCLUSION Marketers have virtually no control over the elements of the environment. It is essential, therefore, for marketers to keep abreast of changing trends in the external environment.

Monitoring trends enables firms to anticipate and forecast changes, which are likely to affect their activities. They can then devise contingency plans to deal with new situations arising from demographic factors such as the rise of the 55 + age group, technological factors such as the impact of the silicon chip, social-cultural factors such as the increasing proportion of married women in the workforce of economic factors such as high interest rates. All these factors mentioned above form an environment, which affects marketing decisions. Information about this environment is a crucial input into the marketing process, therefore. The accelerating pace of technological change makes it harder to keep up, whilst the increased competitiveness of markets means that it is even more essential to do so.

Some organisations systematically analyse their environment to formally assess the possible impact of trends and external events. Environmental scanning techniques can help this analysis. Michael J. Barker (1985) wrote that the QEUST (an acronym for Quick Environmental Scanning Technique) is one technique which allows managers of an organisation to pool their views on the future in a systematic way. Other managers keep in touch with their environment in less formal ways. Successful entrepreneurs often develop informal networks to keep them in touch with what is happening around them.

Some seem to have an instinctive understanding of developments in their environment. Research studies among a number of entrepreneurs suggest that those who succeed work hard at developing contacts to give them as much feedback from their environment as possible. Whatever way it is gained, an understanding of the likely trends and events in the environment is a key part of the marketing process. BIBLIOGRAPHY PHILIP KOTLER, (MILLENIUM EDITION), MARKETING MANAGEMENT, PRENTICE HALL, NEWJERSEY LANCASTER, G. A. & MASSINGHAM, L. C (1988) THE MARKETING ENVIRONMENT IN ESSENTIALS OF MARKETING, McGraw-HILL, NEW JERSEY CANNON, T. (1986), BASIC MARKETING, PRINCIPLES AND PRACTICE, 2 ND EDN, HOLT, RINEHART AND WINSTON, NEW YORK MICHAEL J.

BAKER, (1998), MACMILLAN DICTIONARY OF MARKETING & ADVERTISING, MACMILLAN PRESS LTD, LONDON. MICHAEL J. BAKER (1985), MARKETING STRATEGY AND MANAGEMENT, MACMILLAN PUBLISHERS LTD, LONDON. GEOFF LANCASTER & PAUL REYNOLDS (1995), MARKETING, BUTTERWORTH LTD, OXFORD DAVID STOKES (2 ND EDN), MARKETING: A CASE STUDY APPROACH, LETTS, LONDON ROSEMARIE STEFANOU (1993), SUCCESS IN MARKETING, PAGES 28, 31, 35 MARTIN CHRISTOPHER AND MALCOLM MCDONALD (1995)


Free research essays on topics related to: environmental protection, environmental scanning, air and water, natural environment, michael j

Research essay sample on Understanding The External Marketing Environment

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