Define the Environmental Factors as They Relate to Marketing for a Business That Is Rooted in a Dynamic Environment. What Are the Best Methods for Companies in These Environments to Stay Current with Their Marketing Tactics? Essay Example

At all times, besides focusing on assessing and satisfying consumer needs and wants, environmental factors such as social, economic, technological, competitive and regulatory factors play an important role in forming an organization’s marketing activity (Kerin, Hartley& Rudelius, 2009 pg35). These forces are uncontrollable and yet cause great impact in a marketing decision. For instance, the technological advancement that takes place influence the marketing strategies of E-bay company. They use internet and websites to market their products and services. Besides that, economic downturn that occurs in recent times triggers a lot of discounts and promotions offered by company in selling their products and services. Now the problem is , what should the company do in order to stay current with their marketing tactics in these environments? Firstly, there is a common marketing strategy tool used by most of the companies--- SWOT analysis. SWOT analysis is used to evaluate the strengths, weaknesses, opportunities and threats involved in a business. Particularly in the opportunities and threats parts, they are used to identify the environmental or external factors that affect the marketing decisions. Under the opportunities section, a company manages to identify some positive trends in their fields. For example E-Bay company come out with success as the company’s marketing strategy is current with technological advancement and globalization that crop up in this era. By analyzing the threats in SWOT analysis, a company is able to identify negative external conditions, for example economic downturn and competitions that will reduce sales or even causing downsize of a company (Hansen & Hansen, n.d.). Therefore using SWOT analysis, a company can come up with new marketing tactics that can make use of the opportunities or cope with the negative trends that caused by the environmental factors. Besides SWOT analysis, environmental scanning is one of the best methods for the