Principle of Marketing Management: Macro and Micro Analysis

Principle of marketing
management

Contents
INTRODUCTION...........................................................................................................................3
TASK...............................................................................................................................................3
Macro analysis.............................................................................................................................3
Micro analysis..............................................................................................................................6
Competitive analysis....................................................................................................................7
SWOT analysis............................................................................................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Principle of marketing is defined as the marketing idea and concepts that is used by the
organisation for the developing effective marketing strategies. Marketing managers identify the
changing needs and demands of customers in order to sustain in competitive market. There are
various principles are included in marketing management such as principle of planning,
organisation, control, direction, and motivation. In this report the chosen organisation is
Sainsbury which is second largest supermarket in United Kingdom. The organisation is founded
in the year of 1869 by the John James Sainsbury. The headquarter of organisation is situated in
London, England, UK. It is the private limited organisation that have 1428 shops in different
location. The organisation focuses in the market of United Kingdom. In this report macro and
micro environment factors that includes pestle analysis is discussed. Apart from that swot
analysis and competitive analysis is covered in this project report.
TASK
Macro analysis
Macro environment is defined as the conditions that exist in whole economy than a specific
segment or region. The analysis focus on the broader issue of organisation such as laws and
legislations, socio-cultural environment, political and technological factors. It includes all those
factors on which business has no control but they affect the business functioning and
performance (Askegaard and Torp, 2020). Sainsbury conduct proper market research and
formulate effective strategies and planning to overcome the impacts and gain competitive
advantages. For the analysation Pestle analysis is used by the respective organisation to conduct
business in the market of UK.
PESTLE analysis: The Pestle analysis is stand for the various factors that are exist in the
exist in external business environment such as political, environmental, social, technological,
legal and environmental factors that affect Sainsbury in positive as well as negative manner
(Najib, 2021). As the organisation is auditing in the market of UK and analyse all factors
accordingly. Factors of pestle analysis are discussed below:

Political factor: Political factor of United Kingdom affect the performance and
profitability of Sainsbury. As in political environment of UK debts of government and consumer
is very high. Political factors include taxation policies, trade restrictions and fiscal policies that
are passed by the government that affect the economy and certain industry as well. Sainsbury is
the retailing organisation that operates its business in various countries that enhance the
requirement to identify the political situation of each country in order to run business functions
properly. Respective organisation analyses all factors closely of UK market than develop
effective strategy and planning. Brexit uncertainties in the UK market affect the Sainsbury to
import products from other countries.
Economic factor: Economic environment consist various factors that affect the
performance level of Sainsbury such as inflation rate, foreign exchange rate, saving and interest
rate as well as economic cycle that determines the demand and investment in economy. In UK
economy the fuel prices are raised that enhance the prices of transferring products and services
as well as reduce the profitability level (Barney, 2018). On the other hand, raising salary
expectation is the economic factor that affect the Sainsbury through enhancing cost of
organisation. As UK has various supermarket brand such as Tesco, Morisons and Aldi that
enhance overall competition for Sainsbury. The organisation continuously bring innovation in
order to take competitive advantages.
Social factor: As the customer of tend to shop from supermarkets such as Sainsbury than local
retailing shops because these organisations provide all products and services under one roof.
There are various factors are included in social factors like cultural trends, population analytics