Macro Environments and Breakfast Cereals
Macro environments and breakfast cereals
1. Introduction
Company A’s cereals are manufacturers of healthy and nutritional breakfast cereals and ready to go breakfast bars. While their main manufacturing plant is located in Brisbane, their products are distributed in major supermarkets Australia wide. Knowing that breakfast is considered by consumers as the most important meal of the day the company’s focus is on offering a multiple product range to various target groups with the added benefits of additional fiber and cholesterol lowering properties. Only by complying with strict guidelines within governmental regulations, this company is able to promote the health benefits of consuming their products and endorsements noted on their packaging clearly shows consumers that they are able to stand by their claims. A recent change in their products packaging has also resulted in the company’s conscious efforts to save the planets resources and approval has been observed from environmental groups.
There are six major forces this company considers when marketing products and these are demographic, natural, economic, cultural, technology and political (Kotler, Brown, Burton, Deans, & Armstrong, 2010). This paper will briefly outline each in relation to Company A’s cereals.
2. Macro-environments
a. Demographic Environment
Of major interests to marketers is the demographic environment as it involves the study of people, population density, age, sex, race and occupation. These are just some of the areas it covers and by studying these areas companies are able to determine strategic plans to market their products at the right targets (Kotler, et al., 2010, p. 137).
One area that has changed significantly is the aging population, with decreased fertility and increases in life expectancy attributed to advancements in medical care and more focus on health and nutrition, people are living longer than 20 years ago. Over the last two decades from 30 June 1990 to 30
1. Introduction
Company A’s cereals are manufacturers of healthy and nutritional breakfast cereals and ready to go breakfast bars. While their main manufacturing plant is located in Brisbane, their products are distributed in major supermarkets Australia wide. Knowing that breakfast is considered by consumers as the most important meal of the day the company’s focus is on offering a multiple product range to various target groups with the added benefits of additional fiber and cholesterol lowering properties. Only by complying with strict guidelines within governmental regulations, this company is able to promote the health benefits of consuming their products and endorsements noted on their packaging clearly shows consumers that they are able to stand by their claims. A recent change in their products packaging has also resulted in the company’s conscious efforts to save the planets resources and approval has been observed from environmental groups.
There are six major forces this company considers when marketing products and these are demographic, natural, economic, cultural, technology and political (Kotler, Brown, Burton, Deans, & Armstrong, 2010). This paper will briefly outline each in relation to Company A’s cereals.
2. Macro-environments
a. Demographic Environment
Of major interests to marketers is the demographic environment as it involves the study of people, population density, age, sex, race and occupation. These are just some of the areas it covers and by studying these areas companies are able to determine strategic plans to market their products at the right targets (Kotler, et al., 2010, p. 137).
One area that has changed significantly is the aging population, with decreased fertility and increases in life expectancy attributed to advancements in medical care and more focus on health and nutrition, people are living longer than 20 years ago. Over the last two decades from 30 June 1990 to 30
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