Changing Market Environment Essay

Changes in the selling milieu and its Implications The word Marketing refers to an body process that is strategic exclusivelyy concerned with the management of affinity among an shaping and environs. surroundings could be describe as an internal and orthogonal set to an organization. Internal Environment consists of bunkal particularors that be save within the organizational boundaries w here(predicate)as external surround consists of any factors or conditions that ar non under the control of an organization.Internal Environment creates strengths or weaknesses for a firm, however external surround may create opportunities or threats. Over the past some years, a substantial transpose in external surround has been happened. In response to the alter in external environment, companies energize to convince themselves and plan accordingly. Successful companies do not treat environment as a constraint, rather they view it as an opportunity. well-nigh time the dislodge in the environment becomes a competitive advantage for a firm who exploits the change at a right time.Changes in the Marketing Environment Since a last decade or two, significant changes in the merchandising environment engage been observed in the commercializeplace. These significant changes could be categorized as, supply versus subscribe to environment, wage hike countations, innovation in technologies, planetaryization, increase focus on expediency, fashionisation of markets, erosion of brands, sm in any markets, commoditization and opposite constraints. Previously, many companies do not bother to even think active client learns and deficiencys. They and hard on their convergenceion and distinctiveness side.However, everywhere time market managers realized the fact that understanding customer needs, behaviors and wants are polar for customer satisfaction which ensures the continuity of an organization in the market. Now every other business is trying to ac hieve customer satisfaction, outfit customer expectations and increase their customer average behavior. These things beat forced the companies at present to focus on demand side rather than supply side. Innovation in outputs and technologies is another source of change in the trade environment.As pointed out rather, that companies are now a lot than focused on customer needs and wants. This thing has bring forth companies to bring innovation in their product features and processes. Competition has increase smuggledly, which is forcing the firms to squeeze their winnings margins and bring more efficiency in their production and processes. In order to follow up this, companies demands more efficient technologies. This is something that every corporation in a particular manufacture has to follow. In order to remain competitive, all the companies have to adapt the clean technology.Adapting the clean technology or process operator quitting the older ones, this brings c hange into the environment. In nowadayss world, the concept of Globalization is sightly more and more common. Globalization is progressing at a very fast speed. In fact, now many countries are load-bearing(a) the phenomenon of free trade which is uplifting the planetaryization. another(prenominal) factor that underlies the globalization trend is the spectacular developments in information processing and conveyance of title technologies. Now many firms have global presence which pushes them to think about marketing and environment in a global context.In this regard, an organization has not only to take care about domestic market environment, in fact foreign market environment as well. Companies are now shifting their focus more on service side which cannot be standardized. Uniqueness and complexity of a service determines the extent of relationship between a business and the customer. Service is more customized than product. This customized nature of service is one of the sou rces of changing marketing environment. Customers trends are changing rapidly. As a result their purchase intentions are as well as changing.Behaviors of customers have significantly changed from the past. In 1970s 1990s customers do not want to experience new things rather they kindred to use same products and services. They were more rigid. However, like a shot consumers want change, they want to experience new things, and much more flexible. These are some of the reasons of fashionisatin and erosion of brands. All these things are demanding more change in the marketing environment. Earlier, all businesses produce goods and then market them more often than not to the general public without considering the needs of item consumers in the market.However, in the current situation companies are adopting more leaded approach. In this regard, they raise and market their product primarily to their target market. Companies now are increase their assent on niche marketing and speci alization which is also refers to micro market. This phenomenon of micro market is creating change in the marketing environment and possessing challenge to the marketer. Change in the marketing environment also comes from the product life cycle. As product moves from one give to another, a change occurs.In the earlier and spunk coifs of the product, companies try to differentiate their products which back up them to charge premiums from the customers. However, in the later stages of the product, commoditization happens. Commoditization is a concept which reduces the specialisation. Reduction in the differentiation would results in the shrinkage of profit margins. Generally, companies do not want to commoditize and strives to prolong the middle stage of the product. The main point here is this that market environment would change with the change in the life cycle stage of product.Usually, commoditization also poses challenge to the marketer. Expectations of consumers are increas ing from the companies. In the past, consumers did not expect much from the companies only now their expectations have increased with the increase in production technologies and competition. They expect more in terms of product quality and service. In order to meet the changing expectation and increasing demands of the consumers, companies need to change in their culture also. Therefore, rising expectations of consumers are also posing a change in the marketing environment. apart(predicate) from the above stated factors, companies also have to face number of other constraints as well which would create a change in the environment. These constraints could be related to economic, policy-making or cultural constraints. Not always, but sometimes these constraints could bring a disastrous change in the marketing environment. Therefore, organizations have to be keep ready all the time to deal with any of the constraints. ever-changing Marketing Strategies In this changing environment, c ompanies have to be prepared for changing in their marketing strategies.