One Component of the External Environment Marketing Managers Must Understand

question 40

Essay

One component of the external environment marketing managers must understand and react to is the economic environment.Briefly describe the four economic areas of greatest concern to U.S.marketers and the marketing implications of trends in these four areas.

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Definitions:

Price Setting

The process of determining the selling price of a product or service, typically based on costs, market demand, and competition.

Marginal Cost

The increase in total cost that arises from producing one additional unit of a product or service.

Market Output

The total quantity of goods or services produced and supplied in a market at a given time.

First-move Ability

The advantage or strategic benefit gained by being the first to act or move in a given situation, often discussed within the context of game theory and competitive scenarios.