Essay on Mr Jan

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How to conduct a marketing audit * Top Article * All Articles
1 of 1 by Nicole Selley *
Created on: May 03, 2009
So you are ready to prepare a marketing audit for your business? Right, so where should you start? Having to carry out a marketing audit can seem a daunting process, but if you approach it in a structured manner, you will have it completed in no time. And it will help you to move your marketing activities forward to support your business to succeed.

Your marketing audit will split into two key areas: External and Internal Audit

1. External audit

An external marketing audit looks at three main areas: the economic environment, the competitive environment and your own market environment. As part of your marketing audit you need to understand for each of these areas how and if any changes will impact on your business or your competition. If they do, then you need to look at them in more detail.

- Economic environment -

The economic environment is often summarised with one acronym: PESTEL. This stands for political (e.g. tax changes, government actions), economic (employment levels, rate of economic growth), social / cultural (changing demographics, lifestyle and family values), technological (IT development, growth of the internet), legal (changes to specific laws) and environmental situations and changes (e.g. growing importance of green' behaviour).

You need to find out what is currently happening or might happen in the near future in any of these areas that could have an impact on your business or industry. This could either positive (i.e. it provides you with an opportunity or puts more importance on a current strength) or negative (i.e. it is a threat to your business or makes a current weakness even more of a problem).

- Competitive Environment -

No man is an island' and not business (unless you own a monopoly) is without competition. Your marketing activities may change a lot if the competitive environment changes. There might we new entrants to your industry, new products that could replace what you are selling or increased rivalry amongst competitors. It is important to know where your competition comes from, what they do, how and why they do and how dangerous they are to your business only then do you know how you can compete successfully.

- Market Environment

In order to develop your marketing plan, it is important that you understand the market you are competing in. You might think you already know this, but don't forget the market is constantly changing and it is important that you stay on top of the game.

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