Analysing the micro and macro environments in which a business operates is an important part of a successful marketing strategy. Consequently, the focus of this week is the micro and macro environments, including the conceptual tools used to assess them. We will also explore the role played by businesses in the macro environment.

This week, we will look at the segmentation, targeting and positioning (STP) marketing model, which is one of the most frequently applied models in practice. STP focuses on commercial effectiveness, enabling a business to select the most viable marketing segments before developing a marketing mix and product positioning strategy for them. The STP model is useful when creating marketing communications plans since it helps marketers to prioritise propositions and then to develop and deliver personalised and relevant messages to engage with different audiences. Importantly, the STP model helps marketers to evaluate the potential and commercial attractiveness of each segment.