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Changes in Socio-Cultural Trends and How It Affects the Marketing Mix of 2 Companies (Astro & Maggi) in Malaysia

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Assignment Question A Examine the scope and activities of your own country of residence, or one that you are very familiar with. 1. Identify and examine the key social-cultural trends, including demographic and lifestyle developments that have taken place within your chosen country over the past decade. 2. From your answer to (1) above, choose one example of ‘change’ for (a) a manufacturer and (b) a service organization and examine: i. ii. How this change has affected demand for the existing product / service. How the provider has reacted to this change in demand

Response to Question A – Part 1

The social-cultural environment affects how and why people live and behave as they do (McCarthy, 1993). It is made up of numerous variables including education levels, food consumed, clothing styles and awareness on global issues. The socialcultural environment is one that keeps evolving and can have far-reaching effects on customers’ buying behaviour.

Drawing from how changes in buying behaviour is based on changes in the various external stimuli exerted on the buyer (Wilson, 1994), we can assume that changes in the social-cultural environment is also based on changes in the various external stimuli impacting it as illustrated in Diagram1.

External Stimuli Demographics Economy Changes in the Social-Cultural Environment

Social-Cultural Environment

Political/Regulatory Environment

Technology

Diagram 1: Drivers of Social-Cultural change. Adapted from Wilson 1994, Strategic Marketing Management

In the following paragraphs, we will use this model to detail changes in external stimuli that have impacted the social-cultural environment in Malaysia over the past decade and the corresponding trends, i.e. change which has momentum and durability (Kotler, 1996). Marketing Strategy – Assignment 1 – Aug/Sept 2009 Page 1

Calvin Ronald R. Jacob - University ID : 7525813 Assessment Reference: MS/July 2009/1

Demographics The Malaysian population stands at...