The Marketing Environment For REI
The marketing environment for REI is immensely complicated. While some aspects
of marketing, including price, promotion, product and place is within the company s
controls, other external factors are not. Factors external to REI s control include local
and global economic factors, legal and regulatory forces, socio cultural trends, and
technology.
Major elements of the U.S. economy affecting REI s retail operations include
consumer confidence, interest rates, and inflation. All three elements either stimulate
or depress consumer spending. Low consumer confidence, high interest rates, or
rising inflaction, place pressure on companies to lower prices, which has a negative
impact on sales margins.
The economic performance of global markets as well as geo political influences
directly affects U.S. consumer sentiment and suppresses consumer spending. Current
examples include the economic instability in Greece and China. ... Show more content
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based company, REI is required to adhere to all U.S. laws and regulations. This
includes financial laws and regulations, including local, state, and federal tax laws,
and federal trade laws. As an employer REI has to abide to labor laws, which
governs, amongst other, Labor Standards, Workplace Safety and Health, and
Employee Benefits. Furthermore, REI is required to comply with the Americans with
Disabilities Act (ADA) of 1990, which prevents workplace discrimination and
guarantees equal opportunities for disabled workers.
The incredible pace of technological advancement is a challenge for all companies. In
recent years, the greatest growth was seen in mobile devices, which challenges
companies, like REI, to keep up with consumer demands. With mobile devices,
customers want to interact with companies on their terms. Companies, like REI, can
respond by offering personalized marketing directed at users of mobile devices.
Mobile devices are also leading the charge for new payment methods, NFC enabled
devices and mobile