Managing Change Macro Environment Analysis The Macro Environment Analysis is the first step of a strategic analysis which in turn kicks off the traditional; strategic planning cycle; it is sometimes referred to as an external analysis, a pest analysis or a pestle analysis.
Cyclical industries, for example, are heavily influenced by the macro environment, while consumer staples are less influenced. The macro environment can also greatly affect consumers directly, affecting their ability and willingness to spend.
The Bureau of Economic Analysis releases a quarterly report on GDP growth that provides a broad overview of the output of goods and services across all sectors. Inflation Inflation is a key factor watched by economists, investors and consumers.
It affects the spending strength of the U. Employment Employment levels in the United States are measured by the Bureau of Labor Statistics, which releases a monthly report on increases in business payrolls and the status of the unemployment rate.
The Federal Reserve also seeks to regulate employment levels through monetary policy stimulus and credit measures that can ease borrowing rates for businesses to help improve capital spending and business growth, also resulting in employment growth. The Federal Reserve sets a federal funds rate for which federal banks borrow from each other, and this rate is used as a base rate for all credit rates in the broader market.
The tightening of monetary policy indicates rates are rising, making credit borrowing less appealing.The industry environment analysis is traditionally the second stage of your strategic analysis its purpose is to determine the level of competitive pressure your business is likely to be exposed to in the foreseeable future.
The macro environment refers to the overall condition of the economy, as opposed to the well-being of a particular sector or region.
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Macro and Micro environmental factors of marketing with respect to education sector. this ppt tells us about the education sector, micro and macro environment and its factors with reference to the Indian education system.