Marketing Environment and Consumers to be Central in Marketing Activities

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Marketing Environment and Consumers to be Central in Marketing Activities

Introduction

Radical market changes, superior demands for performance and tough competition are increasing rapidly. The ever changing and dynamic marketing environment has many great challenges to executives around the world. The fast changing market structures require an in depth study of environmental factors which are affecting the consumers in making the decision. The companies are becoming market-driven in order to sustain in this competitive environment. The customers have become the focal point in the business operations (Kerin et.al, 2009, p. n.d.). The companies are striving to create superior value for customers and becoming market-oriented.

Firstly, the study of marketing environment framework needs to be analysed. Secondly, the extent to which the consumers have become central in the marketing strategy formulation. Lastly, the importance of consumers and marketing environment need to be examines in implementation of the marketing strategy.

Analysis

Marketing Environment

The marketing environment includes the factors and forces which affect the management's ability to build and sustain relationships with consumers. The marketing environment framework consists of micro and macro environment. They both impact the company's decisions and strategy.

Micro Environment

The micro environment refers to the company's immediate environment which includes the company's internal environment, suppliers, intermediaries, customers, competitors and publics.

Company's internal environment

The internal environment refers to the business functions or departments working for the company such as: top management, finance, production, accounts, research and development, marketing and human resources department (Jain, 2010, p. 63).

The top management sets the company's strategic intent, vision, mission, objectives, policies and strategies. For example, the marketing department plans the commercialization of product and finance department worries about the allocated budget and funding plans for a company. There must be cross functional coordination among all departments and they must synergise to excel.

Suppliers

The production and creation of goods and services need a variety of raw materials and other inputs. The suppliers are individuals or businesses who supply these inputs to the company. The company must have close relationships with the suppliers as they are linked to the company's overall customer value creation. The suppliers provide the resources which are utilized effectively to produce goods and services. The companies can face severe and serious problems in the relationship with suppliers are not good (Jain, 2010, p. 63).

Intermediaries

Marketing intermediaries are individuals or businesses that help the company promote, sell and distribute the goods and services to the ultimate consumer. These intermediaries include resellers, distribution firms, marketing services agencies or financial intermediaries. The marketers have realised the significant importance of working with these intermediaries as partners rather than treating them as channels.

Customers

Customers are individuals, households or businesses who demand and consume goods and services. The marketing environment incorporates five types of customers, the consumer market, the business markets, resellers and global customers. The company needs to understand the value requirements of the customers. The market sensing and customer linking capabilities enhance the chances of maintaining and sustaining customer relationship management. The customers must be examined ...