Chapter 3 The online macro-environment
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1 Slide 3.1 Chapter 3 The online macro-environment Slide 3.2 Learning objectives Identify how the macro-environment affects an organisation s digital marketing strategy, planning, implementation and performance Consider legal, moral and ethical constraints of digital marketing Identify aspects of each of the macroenvironmental forces that are particularly relevant to digital marketing. 1
2 Slide 3.3 Questions for marketers How important are macro environmental changes to my digital marketing strategy? How can I ensure my online marketing activities are consistent with evolving culture and ethical standards of online communities? How important is it for me to understand technological innovations? Which laws am I subject to when marketing online? How is social media marketing likely to impact on my business and what changes do I need to make in order to react to social changes in the online market place? What are the political influences which could influence my digital marketing planning? How do I keep up in a constantly changing marketing environment? Slide 3.4 Why review the micro-environment? The main reason for keeping track of changes in the macro-environment is to be aware of how changes in social behaviour, new laws, technological innovation can create opportunities or threats. Organisations that monitor and respond effectively to their macro-environment can create differentiation and competitive advantages which enable the business to survive and prosper. 2
3 Slide 3.5 Key macro-environment factors Political forces Economic forces Social forces Cultural forces Technological forces Legal forces Environmental forces Slide 3.6 Figure 3.1 Google Wallet Chaffey et al., Digital Marketing: Strategy, Implementation and Practice, 5 th edition Pearson Education Limited
4 Slide 3.7 Figure 3.2 Information exchange between a web browser and a web server Slide 3.8 Figure 3.4 The relationship between access to intranets, extranets and the Internet text editor 4
5 Slide 3.9 Figure 3.5 Public-key or asymmetric encryption Slide 3.10 Figure 3.6 QR Codes 5
6 Slide 3.11 Figure 3.7 Diffusion adoption curve Slide 3.12 Figure 3.8 Source: Gartner Group Different stages of a Gartner hype cycle 6
7 Slide 3.13 Figure 3.9 Alternative responses to changes in technology Slide 3.14 Economic Forces Market growth and employment International market growth and emerging economies globalization Economic disruption 7
8 Slide 3.15 Political Forces Government agencies, public opinion and consumer pressure groups and industry backed organizations. Taxation Tax jurisdiction Slide 3.16 Legal Forces-Digital laws Table 3.1 Significant laws which control digital marketing 8
9 Slide 3.17 Ethical issues Ethical issues concerned with personal information ownership have been usefully summarised by Mason (1986) into four areas: Privacy what information is held about the individual? Accuracy is it correct? Property who owns it and how can ownership be transferred? Accessibility who is allowed to access this information, and under which conditions? Slide 3.18 Information collected online Table 3.2 Types of information collected online and the related technologies 9
10 Slide 3.19 Social and Cultural Forces Social Forces: Social communities based on demographic profile Social exclusion Cultural Forces Environmental and green issues 10
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