Question

MARKETING ANALYSIS

* Environmental Analysis

* Competition Analysis

Answer 1

When a company is conducting a business then it is very important for them to measure the condition of the market. As per the conditions then company should make the strategy. The conditions are like, competitors,. Strategy, government policy, industry environment, consumer demand, rivals entry, technological development, changing rules and regulations of the government etc

For it the company has to look within as well as outside the organization premises.

Environment analysis is used to find out the environment of the market I which the company is dealing. There are certain factors which are judged. Those factors are Social, technological, economic, ecological, and political. This is called as STEEP analysis. In this environmental analysis these factors are analyzed and as per the analysis further strategy is made.

One more method which is known as PEST analysis where Political, economic, social, and technological factors are analyzed.

If we talk about the Competition Analysis, then there are plenty of customers which are ready to serve as the company is doing. That is why if they are better then the company will lose its customer base. Hence it is very important to keep an eye on the rivals.

For this purpose Porter has given a framework which is know an Porter Five forces Model. There are 5 forces which are analyzed in the company perspective.

Those 5 factors are

• Threat of new entrance
• Rivalry among current rivals
• Buying power of buyer
• Buying power of supplier
• Threat of substitute.

SO it is judged that what is the impact of these forces on the company or industry. As per the result strategies and decisions are made.