'Pest + D + N' Framework
What is the 'PEST + D + N' framework? How can this framework be used to improve marketing planning?
The PEST + D + N framework is a foundation on which marketing can begin with as the parts will have an affect upon any outcomes. Political, economic, social, technological, demographic and natural environments are the influences that, singularly or together, will need to be taken into consideration when marketing a product. This is show aptly by Applbaum (1998, pp.324) when he states ‘The implicitly held theory of needs and wants underlying and informing market activities’. Here he is saying that the information necessary to market a product comes from the consumer’s needs and wants.
Political influences come directly from the government. This can be local, state or federal government or the controlling power. The rules and regulations of how business deal with consumers, the expectations and rights of both business and consumers, are delivered by government. In Australia we have what is called the Trade Practices Act 1974, this is a creation of parliament to implement fair trade practices to protect both consumers and businesses, below is an extract from the Trade Practices Act relating to business and how it may not influence the market by monopolizing the market.
Misuse of market power—a corporation with a substantial degree of market power is prohibited from taking advantage of this power for the purpose of eliminating or damaging an actual or potential competitor, preventing the entry of a person into any market, or deterring or preventing a person from engaging in competitive conduct in any market.
(Australian Government, trade practices act 1974, section 3A)
Economic factors come from both sides of the fence. On one side is business with there concerns about profit margins and cost effectiveness. How much will a product cost to manufacture and will it be easily accessible to...
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