Environmental Scan

In: Business and Management

Submitted By kfaithm
Words 942
Pages 4
Running head: ENVIRONMENTAL SCAN

Environmental Scan The current economy has become known as the Great Recession, since it is the deepest and longest since the depression of the 1930s. There are high rates of unemployment and underemployment. Technically the recession is over; however world events and dependent economies of other countries could reverse this progress. The purpose of environmental scanning is to anticipate and strategize for the opportunities and challenges that could be faced in the future. There are five environmental forces within the current economy that effect an environment scan, those forces are social forces, economics, technology, competitive, and regulatory forces. Below is a brief overview of how each force can impact the completion of an environmental scan.
Social
An environment scan is dependent on many things to ensure proper predictions of trends. Environmental forces are constantly changing, environmental scanning is “the process of acquiring information about these changes to allow marketers to identify and interpret trends” (Kerin, Hartley, & Rudelius, 2010, p. 74). Social trends include many factors, such as age, gender, ethnicity, culture, and occupation. Social trends can also be evaluated through three distinct cohorts, the baby boomers, generation X and generation Y. Demographic and gender preferences can also impact the completion of a environmental scan such as the population in an target market. Each of these identifiers assists in discovering and interpreting trends when performing an environment scan. As the Baby boomers leave the work force and enter retirement it shifts the social forces which could be a factor prohibiting the completion of an environmental scan.

Economic Factors Expectations of the consumers as well as their spending habits help to determine the outcome of an environmental…...

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