This section addresses the competitive conditions of firms doing business for the product
category. The questions provided are examples of the items that should be covered; they
are not exhaustive.
A. Markets
What is the current market size, the growth potential for the immediate future (next five
years), and geographical distribution in this product category?
B. Customers
What buying behavior patterns impact this product category? How is the market
segmented and what are the most effective vehicles to reach the segments? How do
consumers rate the competitors on reputation, product quality, service, sales force, price,
etc.?
C. Competitors
Who are the major competitors? Describe them in terms of their size, market share,
product positioning strategies, or any other characteristics that are appropriate to
understanding competitive intentions and behavior. What trends will affect future
competition and substitutes for this product?
D. Distribution
What are the different ways that products in this category are distributed and promoted?
Are there any potential changes in the importance of the varying distribution and
promotional approaches?
III. Macroenvironment Descriiption
This section describes broad macroenvironmental trends. It concerns the demographic,
economic, ecological, technological, political/legal, and cultural factors which are of
relevance to an understanding of the market.
A. Demographic
What major demographic developments and trends pose opportunities or threats to firms
doing business in this product category?
B. Economic
What major macroeconomic (national, international) developments in income, prices,
savings, and credit may affect firms doing business in this product category?
C. Ecological
What is the outlook for the cost and availability of natural resources and energy needed
by firms doing business in this product category? What environmental legislation or
negative publicity is of issue?
D. Technological
What major technological changes are occurring that would affect business in this
product category?
E. Political/Legal
What laws or regulations are being considered that could affect marketing strategy and
tactics?
F. Cultural
What broad cultural or subcultural patterns affect the publics attitude towards the firms
and/or products of the firms doing business in this product category?
