THE EXTERNAL ENVIRONMENTPrinciples of Marketing BUSI 141 | Professor ConradSolomon, M. B., Marshall, G. W., & Stuart, E. W. (2016). Marketing: Real People, Real Choices (8th ed.). Boston: Pearson Education, Inc.

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WHAT WE WILL DISCUSS TODAY

• Economic Environment• Competitive Environment• Technological Environment• Political and Legal Environment• Sociocultural Environment

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THE ECONOMIC ENVIRONMENT

PAGES 39 – 42• Overall health of development• Gross Domestic Product (GPD)• Foreign Exchange Rate

• Overall level of development – Standard of Living• Least developed country (LCD)• Developing countries• Developed countries

• Stage of business cycle

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THE COMPETITIVE ENVIRONMENT

PAGES 43 – 44• Analyze the market and competition• Microenvironment• Discretionary income• Product competition• Brand competition

• Macroenvironment• Monopoly• Oliogopoly• Monopolistic competition• Perfect competition

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THE TECHNOLOGICAL ENVIRONMENTPAGES 44

• Internet is the biggest change• Social Media usage• Automated inventory control (RFID)

Continuously search for ideas and trends

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SOCIOCULTURAL ENVIRONMENT

PAGES 47 – 49• Demographics• Cultural Values• Collectivist cultures• Individualist cultures

• Social Norms• Language• Consumer Ethnocentrism

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THIS WEEK’S ASSIGNMENTS• Journal Entries #3 and #4• Competitor analysis

• Identify 2 - 3 competitors in your city• Organization• Location• Products and services• Check newspapers, websites and more

• SWOT Analysis• For your store and product• List at least for each part of the SWOT

• MML Simulation – Consumer Behavior (Wait until next week)