Marketing Network Environment Changes

Huaqiao University, ChinaBusiness AdministrationOlive Huang: Marketing innovation under the Internet EnvironmentPost-gradu-thesis for the Master degree in ManagementMay, 2001Internet has not only been the wonder in communication technology, but also become a significant business tool for companies in kinds of fields alike recently. This trend has prompted some obvious changes occtiuing in Marketing. In this paper, such influence on Marketing Management related is tried to find.First of all, some essential definitions are introduced and described. Internet is the world wide network based on some protocols to enable different sets of networks to be interconnected. It can be defined on three levels: a network of networks based on some protocols, a collection of resources shared, and a community of people who use and develop those networks. From the angle of marketing, the Internet can be considered as marketing medium, marketing tool and market.Internet Environment in this paper refers to the specific external conditions closely related to, influenced by and involved with the existence and development when Internet is marketing medium, marketing tool or market itself, which including economic, political, regulatory, technological, social, culture and geographic elements. This definition can be understood on two levels. First it emphasis these environment factors?effect occurring in the Internet; second, it is the influence on the traditional marketing environment caused by the appearance of Internet. These two levels are interconnected and interactive.According to such understanding, Internet Marketing refers to when Internet is marketing medium, market or marketing tool, the actions and efforts for creating customer value, improving customer satisfaction through which to achieve marketing goals, and to establish active business models to facilitate the development of market underlying the new business environment.The most obvious change of marketing concept under the Internet Environment is shown as the communication efforts of companies and organizations both to customers and the market. By the many o-many communications, companies establish more equal and friendly relationship with customers through communication, which enhance the meaning to satisfy customer needs and wants, and the organizations final goals too. And the communications with the market will strengthen organizations?abilities in reaction and adapting to the changes of the new environment.Technology element becomes so important under Internet Environment that it is considered as a new marketing method or marketing tool. Applications of new technology prompt the innovation of marketing concept, marketing tools and so on. Vise converse, the development of consumer needs and wants will facilitate the development of technology in the fields related. And the author hold the point that the traditional economic has great influence on the Internet Environment. Furthermore, population element plays another important role in the new environment. Culture element still influences people thoughts and behaviors, but which is not much stronger than in th t aditioi;al marketing envfronrnerj.t. [n this ease, coInparie~ a ~d org.1n~zatioit. face more di.. tk~tlties hi inarketi;ig. but also can dis.~over more chances. hc. piiiticai ~iemenI enphases thegovernment's impoftallt function in managing lhe Internet.Under the lntemet Environment, consumer's personality and psychology and education levelbecome more impoftant that have an evitable effect on his purchasing behavior. Consumer'scapability including searching iIiformatioll, leaming new knowledge and analyzing, andilltergrading and creating will strongly influence on his behavior. All of these Inake the study inconsumer's 1)urchasing behavior far more complicated and (lifficult.ComPanies and organizations nowadays prefer collaboration to competition in strategymanagement. The new environment obliges companies and organizations not only to keep pacewith the m...