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REI Marketing Environment Worksheet

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U.S. Economy
How does the current U.S. economy affect REI retail operations?

1. People or customers having tight budget because of the economy they can’t buy things like they use too. 2.The downsize or loss of jobs for employees, meaning when they can’t get the product out like they use to because of the decrease in staff.

Global Economy
How does the current global economy affect REI retail operations?

1. The fuel cost across the world, meaning fuel prices rises and dollar amount is decreasing. 2. Fair Labor. Everyone wants to be treated equally so REI has joined with different Associations such as Outdoor Industry Association (OIA), and Fair Factories Clearinghouse (FCC) to help prevent fair labor violations.

Legal and Regulatory Environment
What types of legal and regulatory forces affect REI in the U.S.?

1. Consumer privacy, meaning when customers uses their credit cards, debit card, or checks to make purchase their personal information has to be kept private because if their information get out REI can be sued. 2. Product Safety and Recalls, meaning if there be a recall on any of REI products they have to inform the customer about it, if not REI can be liable for the product and be fine also.

Socio-Cultural Forces
What types of social and culture trends affect REI?

1. Different behavior types create a demand for various types of products.
2.Different age groups spend money different, meaning younger age group would not mind spending $100.00 on products where as a older or retire person might not spend no more than $20.00, because of their income so age makes a different how money is spent on different products.

Technological Forces
What type of technology changes affects REI?

1. The use of internet, meaning a lot of customers prefer to order on line direct from the company so they won’t have to stand in long lines for their product. 2. The use of video conference, email, chat rooms to make virtual design teams to design products to sell to customers.

Competitive forces are also a part of the marketing environment, and we will review those in this unit’s second assignment.

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