Farzana Farooq Student ID : 0810127 1. Select three of the macro environmental forces discussed in the chapter. How does American Express adjust its marketing mix in response to trends within each of these factors? The three macro environmental factors are the following:
Demographic environment: American express has been since the baby boomers time and at that period they just used to offer one product (card) but as time changed, the population increased, the demand of the consumers changed, the company produced different cards for different needs of the customers. Economic environment: American express company has adjusted its marketing trends with the changing economy; it is updated with the changes in consumer spendingand has introduced many new cards to catch up with the demand of the customers.
They have card for personal, travelling, businesses purposes and this gives customer a vast choice to choose for their different spending. Technological environment: American express has given card members the following technological benefits Financial flexibility: members can access internationally, Extraordinary rewards: members get free gifts after earning sufficient rewards. 2. How does American Express deal with the various publics in its micro environment? American express deals with following ways:
Media publics: American express features in magazines, newspapers, radio and televisions. Financial public: American express is an old and well known company across the world, therefore it can obtain funds. c vfdgvfbg Citizen-action publics: the company has well customer service; it provides full security and privacy to the customers. E. g. Fraud Protection Grantee, in this system it grantees customers that they are safe and secure from any cheats or fraud. 3. Is American express taking a proactive approach to managing its marketing environment?
How? Yes, it does take proactive approaches by valuing its customer and adapting the change in demand and needs of the consumers. American express values its customer by giving them personal attention and services. Moreover, to value its customer the company introduced the benefits of rewards; this indicated that customers are important to them. The company always follows the changes in demand of the customers; they innovate and create different products which are needed in the market.