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Marketing Environment Analysis Assignment

Marketing Environment Analysis Assignment

Marketing Environment Analysis Assignment


The report mainly presents the marketing environmental analysis of an organization and in the context brings about different ideas and knowledge related with the concept of marketing. The report presents both macro and micro environmental analysis and at the same time gives a brief about the company. The chosen company in this context is, Progressive Office Furniture located in Melbourne, Australia. The report is presented in different segments so that it is easy to understand all the relevant points and the associated ideas with it. The report focuses on both the external and internal forces and tries to dwell on the marketing approaches and scopes for the organization. The marketing environmental factors along with marketing strategies of the organization are mainly referred to and discussed in the report and that is significant in this context.

The value propositions, core brand values of Progressive Office Furniture:

Value proposition is all about the promised value that will be delivered to the customers. However for the organization, Progressive Office Furniture the value proposition is mainly based on their range of office furniture and how smoothly they fit into modern office spaces. The company is committed to provide quality furniture to the customers and also carters to large scale business, small scale business and even home offices (Sabaitytė & Davidavičienė, 2018). The value proposition is also based on their in-store services where the customers or the buyers are assisted in the right way and the attempt is to meet their requirements in the best possible way. Value proposition also includes the cost effective range of furniture that the company has. The customers also can have custom made furniture from the company, Progressive Office Furniture and this is also one of their value propositions (Sabaitytė & Davidavičienė, 2018). The customers can avail from a range of office furniture that the company has to offer such as chairs, desks, storage units, tables, workstations, reception desks, accessories and others. Other than this the company also offers installation services and that is an added value proposition for the customers (Sabaitytė & Davidavičienė, 2018). However on the other hand the core brand value of Progressive Office Furniture can also be referred to. Their core brand values include best customer services, high quality products, transparency in business, creating long term customer relationship, customer satisfaction and innovation in the office furniture range and also trustworthy services to the customers  (Mullakhmetov et al., 2016). These brand values are important and the company positively associates itself with these values. The company is there in the market for the last 25 years and it is their brand values and value propositions that make them stand out in the market.

Analysis of the micro environment:

The company- the company deals in manufacturing, installing and designing of furniture and this is done for the last 25 years. The company has created a name for itself in the market and at the same time has popularity and reputation in the market. It divides its team into two that are corporate department and dealership department. The company has a large network in Australia and their products are sourced to different parts of the country.

Suppliers- the suppliers play a crucial role and here the suppliers are mainly the ones who suppliers the various parts of the furniture and with that the furniture are manufactured. Suppliers also include the ones who provide raw materials required to manufacture the furniture. The suppliers of the company however keep changing but the motto that is high quality supplies is never compromised. The company however needs to adjust with the price with varying suppliers.

Intermediaries- they also have a part to play and they are mainly the dealers who are managing the sales of the products of the company  (Mullakhmetov et al., 2016). The dealership team here acts as an intermediary and they work as per company guidelines only.

Relevant publics- talking about the micro environment of Progressive Office Furniture the relevant publics are mainly the office employees and the staffs. They work in different sections such as manufacturing, designing, layout, sales, corporate management and others. Their contribution to the company has an impact on the performance of the company in terms of its marketing and sales. The impact is however a positive one with committed employees in the organization.

Customers- the customers have various demands and that creates a difference in the products and the types of products that are manufactured and sold. Customers have a great influence on the company.

Competitors- the competitors of the company include the new and emerging furniture brands in Melbourne and they have an influence on Progressive Office Furniture.  

Analyzing the macro environment to demonstrate their impacts on your chosen organization’s strategies/capabilities to serve the target market:

Analysis of the macro environment of the company is crucial since it helps in understanding the external environment and how that impacts the company’s marketing targets and goals v The analysis here is based on DENPTC which includes demographic, economic, natural, political, technological and cultural and all these forces are significant to know about the marketing capabilities and scopes of the company.  However each of the forces is referred to and their impact on the company is also discussed.

Demographic factor- this includes points such as age, income and gender of the public and it has an impact on the marketing capabilities of the organization. The age of the people who are most likely to buy from the company is from 25 to 40 mainly for the office purpose who can be new entrepreneurs or owners of any established organizations  (Mullakhmetov et al., 2016). The people with moderate to high income group will have maximum positive impact on the marketing strategy of the organization.

Economic factor- this is all about the crucial points such as cash flow in the market, recession, interest rate, inflation rates, disposable income and others. The more is the cash flow and interest rate the more is the sales of the company since with better economic situation in the country people will have more money to spend and the company can also effectively sell their products. Presently the economic condition of Australia is a highly developed one and thereby it has a positive influence on the organizational marketing strategy.

Natural factor- the natural factors such as natural calamities like earthquake, flood, hurricanes and others can be there and these all have a negative impact on the marketing capability of the organization. The marketing goal will be greatly hampered.

Political factor- this is important and this is all about government policy, trade policy, labor law policy and others  (Mullakhmetov et al., 2016). In Australia the policies are such that actually helps the organization in their work and the organizational also adhere to the policies so that en effective outcome can be established.

Technological factor- this is an important factor mainly when it comes to smart office furniture. With growing technology in Australia there is an added pressure towards the company to better their products and also to incorporate the best and advanced technological solutions (Sabaitytė & Davidavičienė, 2018). This is factor is important in this context and this factor leads the company to innovate on their product line and adapt new technology to their product line so that they can face the market competition and also can have a strong stand in the market.

Cultural factor- this is all about the ideals, the choices, the likes and preferences of people and this vary from person to person. Australia is a multicultural country and thereby a cultural difference in the country is quite obvious. Based on cultural differences the preferences the lifestyle choices and also the thought process of the people change  (Mullakhmetov et al., 2016). This factor creates an impact on the company since the customers are influenced by this factor. The more modern and new age thoughts the customers are having, it is more likely that they will avail the products of Progressive Office Furniture and if it is not so then the marketing strategies of the company will be negatively impacted.

SWOT analysis of the company:

This includes the points such as strengths, weakness, opportunities and threats.

Strengths of the company include age old reputation, modern and cost effective furniture, positive customer feedback, excellent customer service and quality products (Mullakhmetov et al., 2016). Other than this strength also include installing services which many of the furniture companies doesn’t provide, customization option which helps in creating a positive customer relationship. The values and principles of the company is also strength in this case.

Weaknesses of the company include poor digital marketing skill and poor market research capability and some others. These weaknesses are evident and are there in the company which affects the growth and also the marketing reach of the company. Primary weakness is in the marketing area and the fact is that the company does not have any new or smart and advanced marketing approaches that are essential for the contemporary market.

Opportunities of the company include new and advanced marketing approach, in-depth market research, market segmentation and targeting approach and some others. Opportunities such as social media marketing, paid media adverting and digital marketing are there.

Threats of the company include stiff competition in the market, threat of substitutes, new market entry and also other established furniture companies such as Fanuli Furniture, Brown Dog Furniture and others. Fanuli Furniture, Brown Dog Furniture is popular furniture brands in Australia and they are a threat to Progressive Office Furniture. This creates pressure on the company (Chaffey & Ellis-Chadwick, 2019).

TWOS matrix is also used here and it refers to threats, weakness, opportunities and strengths.

Threats like substitution, new brand, new market entry and others are there and that can be minimized through new and advanced product line that is unique in the market and also that which is attractive towards the customers (Sabaitytė & Davidavičienė, 2018).

Weakness like poor market research and digital marketing skill are there and that can be minimized through new age advertising approach and policy

Opportunities like better market research and marketing approaches can be further enhanced through hiring an effective and skilled marketing team for the company. Opportunities to include both online and offline marketing are there.

Strengths such as market reputation, cost effective furniture, quality products and others can be further enhanced through better product line manufacturing (Chaffey & Ellis-Chadwick, 2019).

Findings and analysis:

It is seen that market analysis is important in this context so that the company can have better and enhanced marketing approaches and also at the same time can have enhanced marketing capabilities thereby creating a name for itself in the market. Progressive Office Furniture always look for better market hold and for that an appropriate marketing strategy needs to be developed and in that case market analysis of the company becomes essential and important (Sabaitytė & Davidavičienė, 2018). It is found that the macro and micro environment of the company both has some positive approaches towards the company’s marketing capabilities and also has some negative approaches towards the marketing strategies of the company. The external factors as well as the internal factors have an impact on the company and the impacts influence the marketing strategies and marketing capabilities as well. For example the positive economic factor helps in better environmental situation and pushes the marketing strategies towards a positive direction as well.  It is found that the value proposition of the company is upright but the market environment needs to be analyzed perfectly so that the marketing objectives are met and it leads to a better outcome as well. The  Porter’s 5 Forces is also referred to in this section since this helps in analyzing the competition in a business.

Threat of new entry is there for Progressive Office Furniture since with improving economy new companies are coming up and that is creating a pressure and stiff completion for Progressive Office Furniture (Chaffey & Ellis-Chadwick, 2019).

Buyer power is also there and that includes the price quote and price expectation of the buyers and that impacts the company directly.

Supplier power is important and hence the supply is crucial to prepare the finished products the company often needs to agree to the price terms of the supplier. The suppliers mainly supplies with the unfinished parts and the price more or less fluctuates in that front. The power of the suppliers has a direct impact on the company.

Threat of substitution includes new technological advanced furniture and that will have negative impact on the company’s marketing approach (Chaffey & Ellis-Chadwick, 2019).

Competitive rivalry is there and the rival includes Brown Dog Furniture, Rosier Commercial Furniture and others. This rivalry is all about market sales, marketing, target market creation, market profitability and others (Chaffey & Ellis-Chadwick, 2019). These companies are well known furniture companies in Melbourne and thereby provide steep completion to Progressive Office Furniture.


The paper thereby talks about the market analysis in details and also points out all the important points and ideas that are connected with it. The brief about the chosen furniture company is also provided here and that is important in this case. Other than that the report also talks extensively about micro and macro environmental analysis so that better and enhanced marketing chances and scopes can be brought about and that are important in this case.

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