Porter's Five Forces Affecting Marketing Environment

1295 Words6 Pages
1.3 Marketing environment
Marketing environment consists of internal factors, performance factors and external factors affecting marketing function, which is an ability of an organisation to develop and maintain the customer relations. Macro environment includes the external factors which can be understood with the help of Pestle. Micro environment includes the internal factors affecting role and responsibilities of marketing, which includes organisation’s internal resources. Performance factors are the forces influencing the role and responsibility of marketing function, which can be explained with the help of Porter’s five forces analysis. Following is the graphical illustration of the same (Baines, et al., 2013):

Fig. 1: Modified from (Baines, et al., 2013)

Pestle analysis determines about the Political, economic, socio cultural, technological, legal and ecological factors affecting marketing function in an organisation. For example, as legal factor affecting marketing function, USDA organic seal or Non GMO product verification logo is awarded to Coconut bliss (Bliss Unlimited, 2016). It helped the company to build trust amongst the customers and improve the brand value. Internal environment consists of evaluating internal resources of the organisation like product, human resources, systems, finances and marketing strategy. At Coconut bliss human resources is given utmost importance. Product portfolio analysis is done to know the effectiveness of a brand to the
Open Document