Demography is the study of the characteristics of human populations.
Today’s demographic environment shows a changing age structure, shifting family profiles, geographic population shifts, a better educated and more white-collar population, and increasing diversity.
The economic environment consists of factors that affect buying power and patterns. The economic environment is characterized by more consumer concern for value in shifting consumer spending patterns. Today’s squeezed consumers are seeking greater value just the right combination of good quality and service at a fair price. The distribution of income also is shifting. The rich have grown richer, the middle class has shrunk, and the poor have remained for, leading to a two-tiered market. 1lany companies now tailor their marketing offers to two different markets the affluent and the less affluent.
The marketer should watch for four major trends in the technological environment: the rapid pace of technological change, high R&D budgets, the concentration by companies on minor product improvements, and increased government regulation. Companies that fail to keep up with technological change will miss out on new product and marketing opportunities.
