Question

                                                      

The marketing manager of a national brand of flavored milk is considering her micro and macro environment in order to complete the situation analysis for this years marketing plan.

She notes some key points. Small traders are not consistently affording appropriate fridge space to flavored milks. Energy drinks are continuing to hold favour in the teen market. Young adults aged 18-25 are more conservative than their slightly older cohort 25-35. UHT or long life milk has processed to the point where taste tests show little noticeable difference. Having long life milk means the product can stay longer in the fridge before having it replaced. The main benefit of this is to the firm which can reduce production and distribution costs. This benefit has been derived through which macro environmental factor?                                                                                          

Answer 1

Answer:

How production and distribution costs are reduced are:

Minimizing raw material use

Grist stuff has an important role in the production of products or services and is one of the most economical consumers. In general , the cost of production can also increase by reducing the use of raw materials.

Labor Costs Pressing

There are usually two factors for higher labor costs, namely the location of equipment and production facilities that are not in non-conducting conditions and workers are not at work happy.

Transportation savings

Lastly, shipping costs such as transporting goods to the client or supplying goods to the purchaser. This transport cycle also funds much of the company's expenditure unpredictably. Therefore, the use of the transport network should be investigated.

A lack of capital or financing of macro-environmental factors has provided the benefit, as some traders are unable to buy a fridge.