Macro and Microenvironmental Factors
The microenvironment (in blue) includes the company, suppliers, marketing intermediaries, competitors, publics and customers as it affects the relationships in terms of value and satisfaction with the customers. On the other hand, the macroenvironment (in red) affects the companies success or failure by presenting opportunities or threats, and includes demographics, economics, natural events, technological changes, along with political and cultural movements (Kotler and Armstrong, 74).
In order for any new company, in my groups case a new brewery, to truly grasp what is going on throughout the value chain, acknowledge potential opportunities, and avoid critical threats, there is no choice but to analyze both the macroenvironmental and microenvironmental factors.
The factors in our brewing company’s (Marketing Plan – http://wp.me/a43oId-4v) microenvironment help create value for our customers so that we can collect fiscal value in return. We have a faithful client base who enjoys the fact that we have limited suppliers, and our beer can only be purchased in a few locations. This became apparent only after analyzing the microenvironment. In the case that the market’s preferences change to desire a widely distributed product that is easily purchasable in various locations, it will be crucial to adapt. Analyzing the microenvironment constantly provides this insight to maintain the customer value. With focus upon the these factors, value for customers not only is created, but will continue to be strong and grow in response to the ability to adapt quickly.
To demonstrate how macroenvironmental factors may benefit or destroy profits I will briefly look into a larger brewing company, Anheuser-Busch. In Utah, due to the fact that State Law limits beer to a certain percentage, “The maximum alcohol content is four percent by volume, or 3.2 percent by weight for beer sold in taverns, beer establishments and stores” (http://www.utah.com/visitor/state_facts/liquor_laws.htm). This political factor forced Anheuser-Busch to specifically make beer for Utah, or to accept to loose business in the entire state. Natural factors include a freeze or early rain in the wine industry. Economical factors maybe be a cut of financial support. Again, without strict attention focused on the macro and microenvironmental factors surrounding an industry: trends will change, values will evolve, the unexpected will happen all unnoticed.