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CHAPTER 6

CHAPTER 6. Scanning the Marketing Environment. UNCONTROLLABLE ENVIRONMENT. The external environment is always changing and the firm must adapt or go out of business. Adaptation requires systematic environmental monitoring. Firms face two environments: (1) Internal (Controllable), and

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CHAPTER 6

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  1. CHAPTER 6 Scanning the Marketing Environment

  2. UNCONTROLLABLE ENVIRONMENT • The external environment is always changing and the firm must adapt or go out of business. • Adaptation requires systematic environmental monitoring. • Firms face two environments: • (1) Internal (Controllable), and • (2) External (Uncontrollable)

  3. EXTERNAL ENVIRONMENT • P.E.L.F.R.E.C. - (Demographic, Economic, Technological, Political/Legal, Social/Cultural) • Social, Economic, Technological, Competitive, Regulatory • To compete successfully firms must address four key environmental dimensions: • 1) Customers • 2) Channels of Distribution • 3) Competition • 4) Company Characteristics

  4. Competitive Forces • Competitive Structure: Pure Competition, Monopolistic Competition, Oligopoly, Monopoly • Basis For Comparison: • # of Sellers • Product Differences • Importance of the Elements of the Marketing Mix

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