Environmental forces are divided into two main parts such as external forces and internal forces. While the internal environmental forces represent all those that impact the in-house operation of a company, on the other hand, external forces refer to all those which cannot be controlled by the company and leave major impacts on the growth of the organization. There is no doubt that the profit margin of an organization mostly relies upon the sale of manufactured products. Therefore, marketing channels are highly affected by these environmental forces. Basically, two types of environments, i.e., macro and micro, majorly affects marketing channels. Marketing activities are largely affected by the business environment. There are different types of promotional channels which ensure good marketing activities. But whether these marketing channels will work or not majorly depends upon these two types of business environment. While the microenvironment is strongly associated with the internal factors of the company, on the other hand, the macro is related with such factors which are above the controlling power of a company. Whenever a company would like to get a global expansion, then such a macro environment affects a companyâ€™s marketing channels.
Undoubtedly, without a healthy business environment, it becomes difficult to cope up with the competitive market. In order to sustain within that high competition, a business entity must open different channels for promoting products. Through these channels, a company would like to sell its manufactured products and earn a good profit margin. In between these channels, a manufacturing company does not want to keep any wholesaler or small business entities. Secondly, among all the channels of a company, there must be different channel members who may take part in different transactional activities. Selling products without any intermediaries (B2C), selling goods in exchange for money through a middle man, circulating products double (i.e., firstly through wholesalers and then retailer), by introducing inverse channels. Hence this is the fluent marketing channelâ€™s activities. But in between these channels, some issues are created oftentimes. Major issues take place when environmental forces start affecting these channels. Two types of environmental forces are generally seen, such as internal forces and external forces. Although it does not take much pain to control internal forces, a company has to take the huge burden for external forces as they cannot be controlled by a company itself. External forces impact differently, and by observing its nature, experts have divided into two parts as macro and microenvironment. If any of the factors are in macro or micro-changes, then it creates problems in between the channels.
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