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SOCIAL RESPONSIBILITY ANDTHE MARKETING ENVIRONMENT

SOCIAL RESPONSIBILITY ANDTHE MARKETING ENVIRONMENT. THE MARKETING ENVIRONMENT. Culture Demographics Social Technology Economic Political and Legal Factors. CULTURE. Culture: Behavior and “shared meanings” Variations Country Regional

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SOCIAL RESPONSIBILITY ANDTHE MARKETING ENVIRONMENT

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  1. SOCIAL RESPONSIBILITY ANDTHE MARKETING ENVIRONMENT

  2. THE MARKETING ENVIRONMENT • Culture • Demographics • Social • Technology • Economic • Political and Legal Factors

  3. CULTURE • Culture: Behavior and “shared meanings” • Variations • Country • Regional • Impact of culture on expectations and what is “right” to do • Individuality vs. collectivism • Relationships between people • Work habits

  4. DEMOGRAPHICS • Distribution of people across statistical categories • Occupation • Income • Ethnicity  Language usage • Age  Birth rates • Residence (e.g., urban/rural)

  5. Japan: Actual and Projected Population Figures

  6. China: Actual and Projected Population Figures

  7. SOCIAL FACTORS • Values—tensions • Value of privacy and security vs. convenience • “Green” products vs. • Cost • Convenience • Performance • “Component lifestyles”

  8. SOME CHANGING SOCIETAL VALUES Increasing emphasis on Decreasing emphasis on Formality Mass media Traditional brands • Recycling and “green” products • Diversity • “Organic” foods • Choice and customization

  9. ECONOMIC FACTORS “Teach a parrot to say ‘supply’ and ‘demand’ and you have a learned economist!” Paul Samuelson. • Consumer debt • Credit card/specific • Real estate • Purchasing power • Over time (inflation) • Across domestic regions • Across countries • Economic cycles • Structural change to national and world economies • “New” family expenses: Internet, cable/satellite TV, cell phone

  10. TECHNOLOGICAL FORCES • Internet/Communications • Direct consumer-consumer communication • Information search opportunities • Growth of “portables” • Manufacturing • Increased global scope of competition due to easier entry • Greater competition for quality, selection • Emerging industries and obsolescence (shortening technology life cycles)

  11. POLITICAL AND LEGAL FACTORS • Political • Special interests and lobbying • Response to crises  legislation, regulation • Legal • Consumer Protection Laws • Truth in Lending • Deceptive Advertising • Product Safety • Antitrust (fair competition) will be covered under pricing • Laws relating to international trade will be covered under international marketing

  12. REGULATORY INFLUENCES • Regulation • Joint Federal and state regulation • Delegation by Congress and state legislatures to regulatory agencies to handle specifics of complex issues • Consumer protection • Consumer Product Safety Commission (CPSG), Federal Trade Commission (FTC), Food & Drug Administration (FDA)

  13. INFLUENCES ON THE FIRM AND ITS CHOICES CULTURE DEMOGRAPHICS ENVIRONMENT SOCIAL RESOURCES ECONOMIC TECHNOLOGY LEGAL/POLITICAL PROFIT PRESSURE FIRM OPPORTUNITIES SOCIAL RESPONSIBILITY

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