The environment that affects the number and types of competitors a marketing manager must face and how they might behave is called the ________ environment.
A) cultural
B) social
C) economic
D) political
E) competitive

Question

Quizplus · Accepted Answer

The competitive environment is the set of external factors and entities that define the market structure and determine the level of competition among firms. This includes the number and types of competitors, their size, strengths and weaknesses, resources and capabilities, marketing strategies, and market position. The competitive environment influences the behavior of competitors in terms of pricing, product development, branding, distribution, promotions, and customer relationships. Therefore, a marketing manager needs to understand the competitive environment in order to develop an effective marketing plan that can help the company gain a competitive advantage and succeed in the market. The other options (cultural, social, economic, and political) relate to different aspects of the external environment that also affect marketing strategies but are not specifically related to competition.

The Environment That Affects the Number and Types of Competitors