Macro environment is an uncontrollable components and major external that may impact an organization’s decision making, and influence its strategies and performance. Macro environment is also known as external environment. (Business Dictionary, 2016) The elements of macro environment use PESTLE analysis which is include political, economic, social, technological, environment and legal to relate with marketing mix which is Price, Product, Promotion and Place is known as four P’s. The first element of macro environment is political environment. Political environment is a government activities which influences the operations of an organization or business. (Business Dictionary, 2016) Malaysia is a Muslim country so that follow Malaysia rules and regulations law, KFC must have Halal so that this can serve Muslim customers. Halal food is food that consents to Islamic Law or Shariah. Free from any forbidden parts of animal origin, hygienic, free from anything regarded as filth is known as najis which is all under Islamic law and also not harmful to wellbeing is Halal stipulates. (QSR Brands (M) Holdings Sdn Bhd, 2016) For example, KFC apply Halal Certificate for their products they serve to customers so that they can also serve Muslim customers. All product that KFC serve is Halal Food. For example, through promotion, KFC is now having promotion for KFC Ayam Kicap Meletup Combo to all customers from RM11.95 at Lunch & Dinner Treats which is from 12pm to 3pm and 6pm to 9pm.
TASK 3C (P3.3) In this criteria, I will explain how business environment such as political, social, technical, legal and environmental and cultural environment shape the behavior of Target Corporation. First what is cultural environment? It is an arrangement of convictions, practices, traditions and practices that are observed to be common to everybody that is living inside a specific population.
In Costco’s macro-environment, a variety of factors could affect the company’s economic viability. External factors such as inflation, foreign currency exchange rates, levels of unemployment, reduced consumer confidence, and changes in tax policies could unfavorably affect the demand for Costco’s products and services. Prices of some goods and services including food products, are often variant and subject to fluctuations deriving from changes in domestic and foreign supply and demand, competition, taxes, labor costs, or delays in delivery which could significantly affect Costco’s sales. Therefore, the product’s costs and selling could also increase affecting financial results. Other important economic factors include the increasing international
2.0 Introduction to Boots Boots UK Limited is a pharmacy chain operating in United Kingdom and Ireland which sells health and beauty products along with operating an optician service. It was first established in 1849 by John Boot, and was formerly known as ‘Boots the Chemist’. Boots ( the trading name of the company) has achieved many successes throughout its career that it can be called a very successful, pharmacy-led health and beauty company, despite its ups and downs which are going to be mentioned further in this assignment. Boots UK is officially branch of a multinational company, Alliance Boots GmbH which operates in over 25 countries around the world.(Boots-uk.com, n.d.) 3.0 Current Marketing Situation Boots is a member of Alliance
Part A Macro environment is important factor affecting the development of enterprises. A macro environment is the condition that exists in the economy as a whole, rather than in a specific sector or region.(Macro Environment n.d.) Cultures, politics, technology, nature, economy and demographic are the six major forces in the company 's macro-environment.(Kotler & Armstrong 2014, p96) Political factors Political factors include government regulations and legal issues and define both formal and informal rules.(PEST Analysis n.d.) All the companies have to follow these rules.
We can look through its macro environment by six factors. The six factors are: political, economic, cultural, technological, natural, and demographic environment. The macro environment analysis is to find out the possible threats and opportunities of the brand. The analysis will
MACRO ENVIORNMENT: Macro environmental factors are those irrepressible external factors that affect the company’s decision making process. These factors include demographic, socio-cultural, economic, political-legal and also the natural factors. Demographic factors – Demographic factors include age, sex, religion, location, thickness, occupation etc. Apple Company has 217 stores in United Stated and about 273 stores worldwide.
External Analysis: Microenvironment Introduction The two major competitive factors controlling the external environment are the Macro and the Micro environments. While the Macro deals with the PESTLE affects, the Micro environment deals with the current structure of the industry and the effect of the roles played by the giants of the industry. Figure A-1 The Microenvironment includes the effect of rivalry, suppliers, buyers, distributors and the general public towards the strategy formulation by the company.
KFC has handle this is situation very tactfully and has obeyed the policies of the Government as prescribed by the government in order to run this kind of business. The other major factor is the pricing policies. KFC maintain and design its price policies keeping in view the income and income distribution of the people living in the country. That’s why all the classes are the target market of KFC.
The conditions that the economy environment included, that is, the inflation, employment, monetary and fiscal policy… in a specific sector or region. The macro environment is closely linked to the general business cycle, as opposed to the performance of an individual business sector. -Physical factors: municipalities growth, population go to the regions are more developed, so we have to considerer what are these areas to create there our business. Climatic diversity, Zara knows this diversity so the clothes that it produces will be linked with the climatic of the region, for example, the North is cold, so the winter´s season arrives before.
3.0 Macro Environment that Effects Apple Social-cultural, technology, economic, political and legislation is the elements of macro environment that effects Apple which are described as below: 3.1 Social-cultural ITunes is Apple’s biggest virtual media store. In general, the image of the Apple also depicts the modern individual lifestyle, combining function and conception, resulting in brand recognition and commitment. In conditions of the demographic features, Apple is targeting the two major generations. One generation is mainly consists of working adults, where they might sustain a higher and stable income to purchase Apple’s expensive and complex equipment. Thusly, the sophisticated and high-tech Apple products would definitely
Micro and Macro Environmental factors that influence Marketing decisions (LO 2.1) Micro Environment: This indicates those elements over which the marketing firm has control or which it can use in order to gain information that will better help it in its marketing operations. Furthermore, these are the factors close to a business that have a direct impact on its business operations and success. It is important to carry out a full analysis of micro environmental factors prior to decide corporate strategy.
Describe three of the environmental influences an organization faces. Provide one example of each and describe how an organization is impacted, either positively or negatively, by each: There are five main external environment forces which can influence an organization (Ashim gupta, 2009). They are technology, competition, resources, consumers, and laws and regulations. I am going to discuss consumers, competition, and resources. The first environmental influence is customers.
The price strategy which KFC is currently adopting is geographical pricing. It is because the menu prices is set differently in each country. For example, KFC Malaysia snack plate is priced at RM 5.95 while snack plate in Singapore is priced at SGD 6.40. Generally, they use market penetration pricing for new products. KFC sets their price slightly lower as compared to their competitors in order to entice customers away from their competitors.
KFC Malaysia has sincerely applied and get the halal certificate from government in order to prove that KFC Malaysia is offering halal products and services. KFC Malaysia has also display halal logo on all the packaging products to let customers aware that products offered by KFC Malaysia is halal (KFC Malaysia, n.d.). Therefore, the basic beliefs and values of particular society which is Muslim has affect the types of the products and services provided by KFC Malaysia, so KFC Malaysia has decided to offer halal products and services that can be used to satisfy every customers with different cultures, as every customers no matter Malay, Chinese or Indian can all having halal food. Thus, Malaysian can having their meal at KFC Malaysia as well as KFC Malaysia is able to satisfy the needs, wants and demands of Malaysian and build long
Introduction A. From quotation of fast food online,Jeremy Rifkin said “In this country ,the health concerns and the environmental concerns are as deep as in Europe. All the surveys show that. But here,we didn’t have the cultural dimension. This is the fast food culture. B.