The macro environment
The firm’s strategy marketing role is to match the capabilities and resources within the organization with market opportunities external to the organization. Understanding customer needs is central to achieving this aim, but marketers must also be aware of factors that can cause customer need to change. A change in customer needs will impact upon the organization’s ability to serve its customers. This means that firm’s strategy marketers have to be knowledgeable about what is happening in the external environment, or macro environment.
What is macro environment or pest analysis? What does PEST analysis or macro environment comprises of? Thoroughly investigating and analyzing the macro-environment, it is very important to identify the factors that militate against the survival of any organization like puma and PPR .These factors include a number of vital issues that are likely to influence organizations supply and demand levels and its cost (kotter and Schlesinger, 1993) .The ever changing factors that often occur constantly creates an uncertain environment and could have severe impact on individual organization in an environment. A number of benchmark has been developed as ways of detailing the vast number of possible issues that might affect an industry. A PEST analysis or equally known as macro-environmental analysis is not a rigorous analytical tool but rather it’s a broad framework for reviewing changes in the outside world that may affect either the enterprise or the organization, these includes political, economic, social and technological forces and sometimes two additional factors, environmental and legal. The analysis examines the impact each of these factors and their interplay with each other on the business. The results can then be used to take advantage of opportunities and to make contingency plans for threats when preparing business and strategic plans (Byars, 1991; cooper 2000). Kotler (1998) claims...