Macroenvironmental Factors
The macroenvironmental factors that will affect USA Today are namely economic, social, political and technological. 1. Economic
The economic environment for USA Today were relatively unstable due to the rising costs of newsprints in the mid 2000s. As printing cost is one of the major cost of newspaper, the rising cost in printing have definitely affect USA Today and its survival. This means that USA Today have to find solutions to solve the rising cost problem and its has taken several measures. It raised its single-copy price from 65 cents to 75 cents which results in a significant increase in revenue without any effect on its overall paid circulation. this shows that readers of USA Today have a high purchasing power and the demand for newspaper is inelastic, that is regardless of the economic performance, people will still read newspaper and there is very little impact on the newspaper industry on political policies.
Another economic factor that will affect USA Today is the high level of competition. This is because there are a substantial number of big firms competing with USA Today. These big firms have resources and some are popular among USA Today's target market, therefore, it may force USA Today to be more aggressive in... 2. Social
Environmental issue 3. Political
In the 1990s, the airline deregulation had led to a large decline for air tickets, inducing a swell of business travel. This benefited USA Today who had already unearthed the business travellers that others had stumbled upon. However, there is also negative impacts on USA Today. First, it had go into direct competition with the Wall Street Journal. Moreover, with number of business travellers increasing, the business travellers' market may become more attractive resulting more firms which are previously not targeting on business travellers to come into the competition. 4. Technological
Due to technology