Wednesday, November 10, 2010

The Micro and Macro Environment

There are two types of environmental forces, which influence an organization's marketing activities. Some of these forces are external to the firm and the organization has little control over them. 

The other type of forces comes from within the organization and can be controlled by it. Hence, the marketing environment can be divided into two major components:

* Macro Environment: 
consists of demographics and economic conditions, sociocultural factors, political and legal systems, technological developments, etc. 

These constitute the general environment, which affects the working of all the firms.

 

* Micro environment : 
consist of suppliers, consumers, marketing intermediaries, etc. 

These are specific to the said business or firm and affect its working on short term basis.