Question

1-    Explain why it is necessary and important to analyze the marketing environment

2-    For each actor/ force explained in the lecture (macro & micro) give a brief explanation, explain its important for marketers, find a real-life company example for each and explain in detail.

3-    Choose a product, how would you market it to different generations? Explain your strategies for each generational cohort and indicate why you chose that strategy.

Answer 1

1. Marketing is always based on four ps- Product, price, place and promotion. Out of these place is the most critical factor. Hence while consdiering the marketing of any product market study or understanding the market enviornment should be given top priority. While conducting market study in a particlar geographical area, it is easy for us to analyse, which product can be marketed, and how much of the same can be marketed and what are the specifications required for the people of that area, etc.

All these steps helps us to achieve a highest market share of our product, and can sometimes even replace the existing similar products which were dominatnt in the market.  

By analysing the market environment earlier, also helps us to understand the strength and future opportnity of the product in the current market environment. It also helps us understand the move of our competitiors, to make our product weak.

2. Macro economics is a branch of economics, which deals with the performance, structure,behaviour and decision making of an economy. Macro economics deals with the growth and stability of an economy, by using interest rates, taxes and government spending. Unempl, oyment, interest rate, inflation, GDP, etc, comes under macroeconomics.

Micro economics on the other hand, studies the performance of indivuals and firms, especially in making decisions regarding the alocation of resources and interaction among individuals and firms. Raising taxes, ctting and spending, etc.comes under microeconomics.  

3. While considering the market strategy and before adopting them practically, we have to understant the fact that, it is a buyers market and not a sellers market. That means, consumers are not willing to purchase anything what we are selling in the market. On the other hand marketers should have a tharough understanding of the market, taste of the people, purchasing power of the people,etc.  

Considering the product in our hand is a car. Considering the earlier generations , it was not that much important for them. It was not common among them to go to far away places, in connection with marriages, education or employment. Hence during olden days car is considered as an item which indicates status symbol of a person who is having reputation in society. Under such circmstances we should focus on luxury cars with more seating capacity to sit comfortably for a group of people for a certain function which are closely connected with marriages, festivals or some other religios purposes.

But while considereing the new generation, the requirments are entirely different. Their income level, along with specific demand changed a lot. At present they are living in a world, where time is very less for them. They have to fullfill more responsibilities. In order to attend all such activities, he needs to go different places. Unlike the previous generations, each house holds have more than a couple of vehicles (two and four wheelers) in their possession. Now a days there is no gender descrimination in driving cars, or any other vehicles.

Hence marketers focused on segmentation strategy, while considering vehicles. Both small, large and SUVs are available in the market. Focusing on employees, both men and women, budget cars are available for daily use. Luxury cars are SUVs also occupies a highest market share.

Focused on the purchasing ability and convenience of individual customers, marketers of vehicle industry appears on the frontline with Nano cars, the cheapest in the industry, to most expensive cars like Benz, BMW, etc. Women also contributes equal share in employment, which helps each familes to have a car of their based upon their individual discretionery income.  

Hence, heavy traffic on our highways are real indicators of the growth and stablity of our vehicle market.