Changes in International Marketing Environment
"The only constant is change". You'll hear this statement throughout your business career. Your success will depend on how better you understand the changes taken place and forecast the changes to be taken place.
International Marketing Environment is changing constantly. The better you understand the changing marketing environment and its effects, the better you can develop effective marketing programs.
International Marketing Environment is the combination of various factors external to an organisation that can affect the international marketing decisions of the organisation in international market. These factors are largely uncontrollable, although marketers can influence some of them. For example, you cannot control population trends, economic conditions, or laws once passed, but you can have some influence on relations with stakeholders, technological developments, and competitive situations.
International Marketing Factors are related to the world economy. The main International marketing factors are – demographic factors, economic factors, social and cultural factors, competitive factors, technological factors, political and legal factors, and institutional factors. To develop effective marketing programs it is necessary to understand the changes in these factors.
Demographic Change
Demography is the study of human population in terms of size, locations, gender, race, occupation, and etc. Demographic environment is of major interest for marketers because it involves people, and people make up markets. Changes in the world demographic environment have major implications for business. Thus, marketers keep a close eye on demographic trends and developments in their markets. Marketers must observe the demographic environment such as the changing age structure of populations, the geographic shifts in population, and the diversity of the population because when you market a product you have to market it to the right people and target audience in that specific area.
Economic Change
Economic Environment consists of economic factors that affect consumer purchasing power and spending pattern. Marketers must pay close attention to major trends and consumer spending patterns both across and within their world markets. Marketers must pay closely attention in the economic environment such the consumer spending, income distribution because these have a large impact on the marketplace because of the consumer buying habits.
Social and Cultural Change
Social and Cultural factors are important to considered while creating and implementing international marketing strategies. Social factor includes reference groups, family, role, and status in the society. Culture is the sum of values, rituals, symbols, beliefs, and thought process that are learned, shared by a group of people, and transmitted to generations to generations.
Trends in Attitude Change
Technological Change
Political and Legal Change
Institutional Change
