In this article we describe the MACRO Environment of a business, often analysed in order to map out the opportunities and threats to a company.
Introduction
This article is a follow-up on the article: The Marketing Environment of a Business. By now, you already know what the marketing environment of a business is and you will now read about a component of the marketing environment: MACRO Environment.
What is the MACRO Environment?
The MACRO Environment encompass factors upon which a business can not exert influence. It’s about the landscape in which a business is active. An example of this is ageing population in the Netherlands. A business can not change this, but it can take it to account in its strategy. The MACRO Environment thus consists of opportunities and threats that come forth from the landscape in which it is active.
How do you research the MACRO Environment?
Research on the MACRO Environment can be implemented with an External Analysis. You can find more information about this by clicking on the following link: External Analysis. The specific component of the External Analysis is the DESTEP Analysis. You can find more information about this by clicking on the following link: DESTEP Analysis. The MACRO Environment research is an important component of the research phase of the marketing plan. Also, more information about this by clicking on the following link: Research Phase of the Marketing Plan.
What does the MACRO Environment of a business consist of?
The MACRO Environment consists of factors of the landscape in which a business is active. Think of, among others:
- economic characteristics such as, for example, economic growth
- demographic characteristics such as, for example, ageing population
- technological characteristics such as, for example, the coverage of internet connection in a country
- political-judicial characteristics such as legislation
Caution: there is no fixed list of factors that must be researched. The structure that we offer ensures that important components of the research are not overlooked.