Essay: Economic Shifts
In today’s fast moving and dynamic global economy, the economy shifts relative to social- economic performance. Thus business economies have witnessed a major shift in the human history; marketing sub sector of business not excluded. Therefore these shifts in marketing are occurring in parallel simply because; costs of production and physical distribution are significantly declining on a global scale and customer acquisition and retention costs are rising. Secondly, business world is moving from a world of relatively scarce shelf-space to relatively scarce attention.
In addition to that, in the past decades the marketing environment has rapidly experienced a shifting from businesses driven by economies of scale in production to businesses driven by economies of scope in customer relationships. This has been accelerated by effect of globalization that has resulted to relative reduction in the interaction costs between overloaded local and international markets. This make it easier for customers to identify vendors, find information, negotiate with them, monitor their performance and switch from one vendor to another if they are not satisfied with performance of their services or products. In this respect, this paper purposes to examine the broad shifts in marketing and some major societal forces that are behind these shifts.