REGULATORY FORCES : Forces in the marketing environment that depend on various government regulatory agencies that impact how an organization operates on a daily basis. An example is the Federal Trade Commission (FTC), which monitors advertising, deceptive labeling, and false or misleading information.
The three main legal areas you need to consider are privacy and data collection, intellectual property issues, and rules and regulations of the FTC and other consumer protection bodies.
General examples of Legal Factors affecting business include: Consumer law. Discrimination law. Copyright law. Health and Safety law. Employment law. Fraud law. Pyramid scheme legality. Import/Export law.
Macroeconomic factors are large scale economic factors that affect all participants in an economy and include such things as unemployment, inflation, interest rates and tax rates. Of course, if taxes, interest rates and inflation are low, the business environment is safer for a new business .
There are four major factors that cause both long-term trends and short-term fluctuations. These factors are government, international transactions, speculation and expectation and supply and demand.
The political, legal, and regulatory forces of the marketing environment are closely interrelated. Federal, state, and local regulatory agencies usually have power to enforce specific laws and some discretion in establishing operating rules and drawing up regulations to guide certain types of industry practices.
The Federal Trade Commission enforces false advertising laws at the federal level, and similar agencies have jurisdiction at state level. In light of these regulations, business marketing departments devise advertising campaigns to emphasize only truthful features or benefits of company products.
As the nation’s consumer protection watchdog, the Federal Trade Commission enforces the Federal Trade Commission Act, which contains rules governing advertising and marketing practices.
Marketing managers have a variety of responsibilities , such as putting together estimates and budgets for marketing campaigns, submitting them for approval, working with advertising agencies, being involved in negotiations, preparing sales and advertising contracts, and reviewing advertising material such as print
It doesn’t matter whether you consider the factor to be legal or political. The table below lists just some of the laws that might be considered when analyzing legal factors : Zoning laws. Health and safety laws. Civil rights laws (discrimination) Employment laws. Intellectual property laws.
Legal Influences refer to the regulations and laws businesses have to abide by or face the consequence of various penalties. The Legal structure which you choose to run your business under causes many legalities.
Many individual factors affect a person’s ethical behavior at work, such as knowledge, values, personal goals, morals and personality. The more information that you have about a subject, the better chance you will make an informed, ethical decision.
Market conditions relate to the attractiveness (or otherwise) of the overall market in which a business operates. Market conditions tend to affect all businesses in an industry, although their ability to take advantage or, or respond to changes in market conditions will vary. Market Demand.
The business legal environment plays a very important role in determining the success of any businesses around the globe. The government taxes that are being imposed among other regulatory measures help to promote economic growth and to protect consumers from exploitation and other illegal factors.
The legal environment of business is defined as: the attitude of the government toward business , the historical development of this attitude; current trends of public control in taxation, regulation of commerce and competition; freedom of contract, antitrust legislation and its relationship to marketing, mergers and