Macro-Environmental Factors

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Influence of Macro-Environmental Factors

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Influence of Macro-Environmental Factors


The sector of toiletries, cosmetics, and perfume is characterized by producing end-consumer market, despite a claim income-sensitive individuals have occupied an ever larger in everyday life, to the point many of them are now considered at least for large segments of the population, as almost essential. Also, diversification and expansion of the production supply has played a central role in this area, allowing many handy products in everyday use, while others cater more specific demands. As with many consumer products supply in this market devotes extensive efforts to recreate and continuously expand their demand, creating new and greater needs by using different strategies: launch of new products for new applications, makeovers items, campaign expenditures, and so on.

Role of Macro-Environment

Most of the companies ignore the macro-environment at their own peril. Many studies support the concept that there needs to be a link between strategic decisions of the organization and its environment. All organizations are affected by four forces macro-environmental: political-legal, economic, technological, and social. Political-legal forces include the results of the elections, legislation, and judgments of the Court, as the decisions of various committees and agencies. The area of environmental policy has real potential, restriction on the way an organization works (Anderson 1997 129). Among the government, most urgent actions are regulation, taxation, spending, change (creating a company crown, and privatization. The differences among sub-sectors of local, national, and international environmental policy are often quite is dramatic. The political instability in some areas is the very form of government subject to profound changes. In addition to the basic system of government and enact laws that the system, the political environment could include issues such as monitoring government policy toward the income tax, the relative influence of trade unions and political about the use of natural resources. It is very important for companies to keep on scanning external and internal environment, because particular type of business may have diverse effect  (Barksdale 1991 29).


For its part, brand development and diversification and differentiation of distribution channels are important weapons to compete. For better positioning in the market, firms spend significant resources to product development, branding, marketing and quality management, delegating many times the specific task of the industrial manufacture of its products in companies specializing in this activity, named third. This last aspect is a distinguishing feature of this chain, where outsourcing of raw production, not of marketing activities, marketing, product development, which constitutes the core of the business, which is undertaken by such firms. Marketing activities are intended to help the company to make a profit by ensuring the production of goods that will be attractive from the standpoint of the consumer. For these purposes both external and internal marketing environment are very important.

The activities of marketing depend on many factors that influence from the outside. These microenvironment factors, i.e. those components that relate directly to the firm and can be controlled from within the company (Cadotte 2003 121).

Development of Cosmetic Industry

The ...
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