MARKETING ENVIRONMENT

Macro-Environment It is important to understand a companys macro environment as broader forces might have an effect on the companys performances. These forces are divided up into demographic, economic, natural, technological, political and social cultural forces. In this part, we are going to apply some of those factors as a tool to evaluate macro external environment of Samsung. Political factors: One of the important aspect that Samsung must consider is a market and product launching regulations. nother important aspect is competitive regulations, taxes, government regulations, employment policies and political stability of the entering country. !or example, when Samsung entering new country it should know its regulations on imported products and tax legislations. "olitical instability also can effect Samsungs sales and distribution channels and trade barriers of the country. s we know, Samsung is a #orean $ompany and it is a big advantage for it as the country has a lot of trade agreements with many countries including trade unions. Economical factors: s the population in the %# is rising by about &.' per cent per year, the mobile phone industry faces a growing market on the long term, as the ma(ority of the population owns a mobile phone. )evertheless, the economic recession might be a threat to Samsung for the short term. The %# momentarily does face a double*dip recession which affects Samsungs marketing environment in a lot of ways. The inflation rate has risen to +., per cent at the end of -&.., but as the inflation rate does not directly ad(ust to economic changes ut might still rise to a level where it would threaten the economic stability. /oreover unemployment increased by 00 per cent from -&&0 to -&... dditional the gross domestic product experienced a tremendous drop within the last 1 years. $ompanies participating in the 2ritish market will therefor depend on the development of the 2ritish economy and the world economy, as countries are facing several challenges such as the 3uro*crisis and national debts, which will affect the %# market.

Social-cultural factors: Technological developments of the country, peoples lifestyle, living standards, demographic trend, age, etc are important social factors that can influence Samsungs performance and sales. Technology and computer industry is developing very fast in the world and more people are interested in it, for example young people, educational groups, businessmen is a big opportunity for Samsung. The countries with a good population income and large population also can be a potential market for the company. Technolo ical factors: s technology is growing fast, it is a big advantage for Samsung because if it continue innovates like today it will be able to keep a pace of the high technology growth in the world. Increasing demand in technology can lead the company to new success. The technological environment is also the most important force to maintain Samsungs success in the future. 2eing one of the leading company in the world, Samsung is forced to stay innovative and always has to be one step ahead of its competitors. !irms such as /icrosoft or )okia missed out on opportunities in the past and are now struggling while Samsung managed to change the whole technology industry by updating their new products several times a year. Samsung also has to prove that they are able to stay one of the most innovative company in the market. !emo ra"hical factor: Technology, politics and social life are associated with variation in demographic environment. The first element of Samsung which is included in demographic environment is changing in age structure. Samsung $orporation carries on a business in not only in information technology but also heavy industries, life insurance, etc. )onetheless, generally Samsung is known its innovations in the field of information technology. The reason for this is that information technology is addressing the larger and crowded population. !or example, in Turkey, crowded population represents young generation. In general, young population are addicted and consumers of imaginable means of communication. They spend a lot of time watching T4. In addition, their cellphones are close at hand almost like a communal life. They want to access their social network site anywhere. Samsung has considered these conditions so it has formed cell phones, laptops, tablets, smart phones with some upgraded features each passing day such as, bluetooth, wireless navigation, touch screen and a lot of things that we do not know these features today. Therefore, Samsung satisfies current customers and attracts new customers easily by the help of latest innovations and it increases

share in market place.