Marketing Environment

1. Definition: Factors and actors outside the marketing department that impact marketing activities.
Thus, marketers' role is to maximize positive impact and minimize negative impact.

Example: There is a tree in front of a bubble tea shop

- Negative impact: Biển quảng cáo bị che
- Maximize: Cắt 1 phần cây che biển đi; hoặc utilize thành chỗ để xe khi trời nắng, chỗ ngồi
ngoài trời khi trời mát
2. Macro Environment: consists of factors and actors that are outside of the Marketing department
and maybe very difficult to influence back. (PESTEL model)
- Political environment: Politics is how a country is controlled or governed
Left-wing (Tả khuynh) Right-wing (Hữu khuynh)

Capitalism (Chủ nghĩa tư bản) Socialism (Chủ nghĩa xã hội)

Decentralize: Invisible hand of government Centralize: All aspects of government.

→ Marketing regulates itself (Tính phân Eg: Price ceiling, price floor. (Tập trung
quyền và khiến thị trường tự điều chỉnh) quyền lực)
The relationship between political stability and the international market:
● Attract investment:
● Trade Thrives
Some factors impact on political stability:
- Economic environment: GDP, GDP per capita, cost of living, inflation rate, deflation rate
( deflation rate is worse than the inflation rate - eg in Japan)
- Social environment: Demographic environment (Age, Gender, Population Shift, Number of
children, Marriage age, etc)
- Technology environment
- Environment (Natural Resources)
- Legal environment

3. Microenvironment: consists of factors and actors that are outside of Marketing Dep & may be
influenced back
- The company itself
● BOD = deciders
● Other departments (Finance Dept - easily have conflicts. Because Financing loves
quantifying - ROI but Marketing cannot have specific numbers to provide →
Solutions: Let Finance Dep learn Marketing and vice versa)
● Employees: faces of the brand, represents the brand
● Employees family:
- Children from Vingroup employees - going to Vinschool/VinUni, having
discounts for tuition fees.
- FPT employees have the insight “going to work late” - mostly the reason
is “for children” → FPT build nhà trẻ tầng 1 → mới phát hiện có potential
trong ngành Education và phát triển hệ thống.

- The customers:
● Consumer markets
 ● Business markets
● Reseller markets
● Government markets
● Internaltional markets
- The competitors
● Direct competitors: companies that sell similar products/ services.
● New Entrants: Emerging businesses, depressing the industry’s profit
● Substitutes: alternative solutions that fulfill the same customer need
Thus, companies always develop competitive advantages to maintain their position in the market.
- Supplies: need to be treated win-win relationship
- Marketing intermediaries: (Trung gian)
● Physical distribution firms (DHL)
● Resellers (whole-sellers, retailers)
● Financial Intermediaries (insurance, banks, investors, etc)
● Marketing service agencies (serearch, digital marketing, production house, etc)
- The public: include people who may develop a good or bad interest in our business
● Local citizen public
● Government public
● General public
● Internal public - employee
● Media public

CASE IN VUNG RO BAY -

Situation: Russian company wants to build a resort for giới thượng lưu ở bãi Vũng Rô, Phú Yên.
Question: Đưa ra nhận định on reaction of 2-3 of the above public + Đưa ra strategy.

1. Xác định most important public types in case này:

- Government public
- Local citizen public
- Media public
2. For government public
- In case, đầu tư 100% FDI (vốn nước ngoài) có thể gây lo ngại về vấn đề chủ quyền
quốc gia, đặc biệt khi dự án nằm ở vị trí chiến lược gần biển - nơi cần đảm bảo an
ninh quốc phòng
- Solutions:
● Shared FDI: không cho phép đầu tư 100% FDI. Có thể áp dụng cơ chế chia
sẻ vốn đầu tư, ví dụ như 100% FDI trong số năm nhất định, sau đó bắt buộc
phải chia sẻ với các nhà đầu tư trong nước.
● Hạn chế quyền lực: Cấp quyền hạn cho nhà đầu tư nước ngoài trong một
thời gian giới hạn, tương tự như mô hình Hong Kong - Anh Quốc.
● Đảm bảo an ninh quốc phòng: Thực hiện các biện pháp đảm bảo an ninh
quốc phòng phù hợp với vị trí chiến lược của khu vực.
3. For local citizen public
- Local citizen có thể bị mất việc làm, các nghề truyền thống như nuôi tôm hùm (do
vùng biển lặng, thuận lợi cho việc nuôi trồng thủy hải sản). Ngoài ra, để có vị trí xây
resort, việc mất nhà là easy understanding, có thể ảnh hưởng đến nhà cửa, kế sinh
nhai của người dân địa phương.
- Solutions:
 ● Hire to work, offer high-paid jobs
● Relocate & Compensation
● Offer housing in other location (Xây dựng nhà ở cho nhân viên của khu nghỉ
dưỡng, tương tự như mô hình của Flamingo Resort.)
● Phúc lợi xã hội: Đầu tư vào phúc lợi xã hội cho người dân địa phương, như
xây dựng trường học, bệnh viện, cải thiện cơ sở hạ tầng → for their kids if
they study engineering & work for Petro in Vung ro Bay
4. Media public
- Thông tin sai lệch, và áp lực dư luận
- Solutions: thông tin minh bạch ngay từ đầu, tổ chức họp báo, tọa đàm, hợp tác với các
kênh thông tin truyền thông

1. Key Stakeholders and Their Impact

a. Consumers

● Changing preferences: Growing health concerns and shifting preferences toward low-sugar or
non-carbonated drinks can reduce demand for Coca-Cola’s core products.
● Brand loyalty: Consumer perception of Coca-Cola’s ethical practices, sustainability efforts,
and marketing campaigns can heavily influence sales.
● Price sensitivity: Economic downturns may lead consumers to opt for cheaper alternatives.

b. Competitors

● PepsiCo: The long-standing rivalry with Pepsi affects market share, pricing strategies, and
innovation efforts.
● Emerging brands: Smaller, health-conscious beverage brands (e.g., kombucha, plant-based
drinks) are gaining popularity and competing for shelf space.
● Private labels: Retailers are increasingly developing their own beverage brands, undercutting
Coca-Cola’s prices.

c. Government & Regulatory Bodies

● Health regulations: Sugar taxes and advertising restrictions in various countries impact
Coca-Cola’s profitability and marketing strategies.
● Environmental policies: Regulations on plastic packaging, carbon emissions, and water
usage force Coca-Cola to adapt its sustainability practices.
● Trade policies & tariffs: Global operations expose Coca-Cola to risks from tariffs, trade
barriers, and international conflicts.

d. Suppliers & Distribution Partners

● Raw materials: Dependence on sugar, aluminum (for cans), and PET plastic makes Coca-
Cola vulnerable to price fluctuations and supply chain disruptions.
● Bottling partners: Coca-Cola’s business model relies on third-party bottlers. Any financial
struggles or conflicts with them can affect production and distribution.
● Retailers & wholesalers: Large retailers like Walmart have strong bargaining power and can
negotiate lower prices or allocate more shelf space to competitors.

e. Shareholders & Investors

 ● Financial performance: Any decline in revenue, profit margins, or market share can lead to
stock price drops and reduced investor confidence.
● Dividend expectations: Coca-Cola has historically paid strong dividends. A failure to
maintain this could hurt its stock value.

f. Employees & Labor Unions

● Workforce disputes: Strikes, wage disputes, or poor labor practices could disrupt operations.
● Diversity & inclusion pressures: Coca-Cola faces increasing scrutiny over workplace
culture and ethical labor practices.

2. Key Risk Factors

a. Market & Economic Risks

● Inflation and recession can reduce consumer spending on premium beverages.

● Currency exchange rate fluctuations impact revenue from international markets.
● Political instability in key markets (e.g., Latin America, China) can disrupt operations.

b. Brand & Reputation Risks

● Controversies related to labor rights, environmental impact, or misleading advertisements can

damage Coca-Cola’s brand image.
● Product recalls due to contamination or quality issues can lead to lawsuits and loss of
consumer trust.

c. Technological & Innovation Risks

● Failure to adapt to digital marketing trends and e-commerce platforms could weaken Coca-
Cola’s competitive edge.
● Slow innovation in alternative beverages (healthier drinks, plant-based options) may lead to
declining relevance.

d. Environmental & Sustainability Risks

● Increasing pressure to reduce plastic waste and carbon emissions could lead to higher costs.
● Water scarcity issues, especially in key production regions, could limit Coca-Cola’s ability to
operate efficiently.

Conclusion
Coca-Cola must continuously monitor and manage these risks while maintaining strong relationships
with key stakeholders. Its ability to adapt to market changes, innovate sustainably, and navigate
regulatory challenges will determine its long-term success.

1. Company → cần work intensitive các ban với nhau để tạo ra một customer value fit với khách
hàng
2. Suppliers: • Provide the resources to produce goods and services & • Treat as partners to
provide customer value
3. Marketing intermediaries (sub-agents/ retailers) are firms that help the company to promote,
sell, and distribute its goods to final buyers.
4. Competitors: direct, new entrants, substitutes
 5. Public: Any group that has an actual or potential interest in or impact on an organization's
ability to achieve its objectives
6. Customers: