The external environment of marketing a business is unwanted hindrances that a business suffers while marketing the products. A business setup is an outcome of strategies, tools, teamwork, and valuable products. Business owners put efforts to establish themselves in a competitive market. They work with a vision, set up a team of experts, assign tasks and goals, and thus help them succeed. But the internal efforts of a business are not free from external factors that may cause a great disturbance to the growth of a business. The marketing environment consists of external and internal factors that affect performance. But the external factor may prove more serious than internal factors. Why do you ask? You cannot control them.

The external factors known as macro factors include political, social, demographic, technical, and Trends in culture. These cause a great impact on the overall performance of a business. When external factor affects a business, the internal factors also underwent through some changes. Here is when the marketers come to play. The marketing strategies allow them to understand the external factors and how they cause changes in the market. The managers apply marketing strategies that help them create a balance to meet customers’ needs.

1: External environment and the economic upheaval:

The economic upheaval is every manager’s nightmare. The changes in the economy directly affect performance and progress. When the economy goes smooth and the chances of growth are bright, the business visions seem achievable. People make efforts to attain their goals. But if a country faces an economic crisis, the business market suffers. The covid-19 is the biggest example of how countries faced economic crises and unemployment. The companies begin downsizing and thus people suffer as they were not prepared for such challenges. The external factors at times become uncontrollable for employees.

2: External Factor–the technical issues:

Today, in the realm of the digital world, data has become the oil. If you lose data, you lose opportunities to grow. It creates a negative impact on a business’s growth. If a YouTube Channel gets banned for no apparent reason. What did you lose? You lose valuable content and efforts of decades in a few minutes. Thus, you lose all data, viewership, followers, valued customers, and many business opportunities.

The external factor is a disaster for content creators when they lose their efforts due to technical issues. However, marketing strategies help to retain such data. For example, if a YouTube channel gets banned for some unknown error. What do you do? You will make videos informing your followers about the situation. The next step is to constantly communicate with authorities, and gain support from other content creators. Using different social media platforms aid the process. If content creators make videos raising the issue, followers make trends and hashtags, it will nudge authorities to resolve the issue. Because, in the digital world, attention is the currency.

3: External Factor–the changing trends in Culture:

If you run a clothing business, you may suffer from the change in trends almost every year. It is a crucial factor that companies use and sometimes suffer from. If you are new in the market, little educated about constantly changing trends, and have a few customers, the change in trends may affect your growth in the market. But you can take the help of advertisement and of some discounts that may attract potential clients to consider your product.

4: External factor–Competitive Market:

It is one of the crucial factors that may slow your business’s growth. When you start a business, you look around and learn from your competitor’s process. While this evaluates your marketing strategies, it also makes it difficult for you to establish your product in the market and thus make people buy it. For example, with hundred varieties of sauces available in the market, why people will purchase your sauce? Your marketing strategy.

5: External factor–the political policies:

The regulatory bodies impose laws and restrictions on business. These regulations help to improve quality and protect customers and business owners such as Patent laws, and IPO. It helps secure intellectual properties from piracy and plagiarism. However, some policies may challenge or even directly damage business. The social media business such as YouTube channels faces threats whenever there is a rumor about YouTube getting banned in Pakistan. Such threats affect overall performance and thus need strategies to overcome external pressures.

Thus, external factors do impact your business, but marketing strategies can help evaluate the issues and act to counter the situation.