Learning Outcomes LO 1 Discuss the external environment of marketing, and explain how it affects a firm LO 2 Describe the social factors that affect marketing LO 3 Explain the importance to marketing managers of current demographic trends LO 4 Explain the importance to marketing managers of growing ethnic markets Chapter 4
Learning Outcomes LO 5 Identify consumer and marketer reactions to the state of the economy LO 6 Identify the impact of technology on a firm LO 7 Discuss the political and legal environment of marketing LO 8 Explain the basics of foreign and domestic competition Chapter 4
Component Lifestyles The practice of choosing goods and services that meet one’s diverse needs and interests rather than conforming to a single, traditional lifestyle. Today’s consumers want multifunctional products
Role of Families and Working Women • Growth of dual-income families results in increased purchasing power
• Approximately 59 percent of work-age females are in the workforce • Working wives bring in 45 percent of the total family earnings. • The phenomenon of working women has probably had a greater effect on marketing than any other social change. Chapter 4
There Is Never Enough Time • It is estimated that over 80 percent of the working population is worried about having too little time. • About 40 percent of American adults get less than 7 hours of sleep on weekdays. • About 74 percent of working adults engage in multitasking.
Generation Y Born between 1979 and 1994 Surpassed population of baby boomers in 2010 Two Stages: 1) Those born in 1994 fit closer to the Teen cohort. 2) Those born in 1979 have established careers and started families. Purchasing power of $200 billion annually
Researchers have found Gen Yers to be: – – – – Chapter 4
Marketing to African Americans 47 percent are between 18 and 49 years More firms are creating products for the African American market. Promotional dollars and media choices directed toward African Americans continue to increase.