CHAPTER TWO
2.0 LITERATURE REVIEW
Investment in information system and technology often justified as a necessary strategy for coping with the increased complexity and information needs to today manufacturing, distributive and service environments. However, world close manufacturing suggests that increases complexity is not always necessary to meet the need of markets and customers or the need of the customer in term of information search.
Decision makers allocate resources between competing needs, the issue of the appropriate amount of investment in the informant system and technology to support promotion arise, this shows the environmental complexity and the choice of promo tools is exclusively the responsibility of the management or the decision makers.
However, this chapter will first take a look at the meaning of environment, environment complexity and other relevant area relating to environmental complexity.
2.1 CONCEPT OF ENVIRONMENTAL VARIABLE
The market environment is a marketing term and refers to all of the forces outside of marketing that affect marketing management ability to build and maintain successful relationship with target customers.
According to Kelly (1989) marketing environment is a factors that consists of the actors and forces outside marketing that affect marketing managements ability, which also offers both opportunities and threats to marketing management.
A company’s marketing environment consists of the forces outside marketing that affect marketing management ability to develop and maintain successful transactions with its target customers companies succeed as long as they have a marched their products or services as with today’s marketing environment the environment offers both opportunity of the environment the environment offers both opportunity of the environment offers both opportunity of the environmental factors and make use of their marketing research and information technology or intelligence system constantly to watch and adopt to the changing environment. Kotler et al (2001).
Advance learner Dictionary, defines environment as the conditions that you live or work in and the way that they influence how you feel or how effectively you can work.
2.2 MARKETING ENVIRONMENTAL COMPLEXITY
The marketing environment complexity is the degree to which the environmental variables (internal, controllable, task or immediate and the macro/ uncontrollable factors) are difficult to understand or manipulated.
The Marketing environment is sub-divided into units; its degree of complexity varies ranging from perfectly controllable (the 4ps – product, price, place and promotion) the partially uncontrollable. At this level, the organization has 50% control of influence of the environment variable he events some level of control of influence, these variable include (The suppliers, company itself and its departments other than the marketing department. Marketing intermediaries, customers, competitors and publics while the last is the microenvironment in which from above the market takes a keen look at the degree at which the factors affect its immediate marketing plans in other to know the alternative cause of action and what to do in order to achieve its promotional objectives.
The climates of business consist of various environment influences the company will have respond to them in his own distinctive way if must monitor it and have an adequate evaluation of it.
The environmental variable consist of those element institution organization system action and forces whose activities and are essential for the effective performance of the marketing activities, but marketing organization has little or no control over them. He must adapt or adjust t them. Though, these environment of marketing organization enormously it is non stalic. It is so dynamic that the marketing organization must kept up with it study and adjust according to its dictate.