micro-environmentand macro-environment. The micro-environment, sometimes known as
‘the operating environment’ is the immediate marketplace of an organisation. For develop-
ment of Internet marketing strategy, the most significant influences are arguably those of
the micro-environment. This is shaped by the needs of customers and how services are pro-
vided to them through the competitors, intermediaries and upstream suppliers within the
marketplace. The Internet and electronic communications have major implications for
organisations and these must inform their Internet marketing strategy. We consider the
changes to the micro-environment and their implications in this chapter.The macro-environment is sometimes known as ‘the remote environment’; its influ-
ences which we study in Chapter 3 are broader, being provided by local and international
economic conditions and legislation together with acceptable business practices. The
Internet and electronic communications have also introduced major changes to the
macro-environment. Reviewing the relevance of technological innovations to an organisa-
tion is vital in providing opportunities for superior services to competitors and to
changing the shape of the marketplace. Another significant macro-environment influence
is legal, specific laws have been enacted to control online marketing and of course the
influence of new technologies.
In the current chapter, the impact of the Internet on the different elements of the
micro-environment illustrated in Table 2.1 will be reviewed in turn. In the next chapter
we then review the constraints and opportunities of the Internet macro-environment.
For each of these elements we will highlight the issues that a marketing or Internet mar-
keting manager needs to consider when developing e-marketing plans.CHAPTER 2· THE INTERNET MICRO-ENVIRONMENT
Micro-environment
Specific forces on an
organisation generated
by its stakeholders.
Macro-environment
Broader forces
affecting all
organisations in the
marketplace including
social, technological,
economic, political and
legal aspects.
Figure 2.3 The Internet marketing environment