In this article we describe the MICRO environment of a business, often analysed in order to map out the strengths and weaknesses of a company. 


This article is a follow-up to the article: The Marketing Environment of a Company. You already know what the marketing environment of a company is and now you will read about a component of the marketing environment: Micro-environment.

What is the Micro environment of a business?

The Micro environment encompasses the factors with which a company can directly respond to the environment. Focus on the company itself. Which factors are influential upon the result? In the Micro-environment, it’s the strong and weak points of the company. What does one do well, what can there be better?

How do you research the Micro environment?

You research the Micro-environment by conducting an Internal Analysis. You can find more information about this by clicking on the following link: Internal Analysis. Researching the Micro-environment is an important component of the research phase of the marketing plan. More information about this by clicking on the following link: Research Phase of the Marketing Plan.

What does the Micro-environment consist of?

The Micro-environment consists of factors within the company itself. Simple examples of this:

  • organisational structure
  • corporate culture
  • target-setting
  • marketing strategy
  • financial situation
  • development of R&D

Describe primarily the relevant internal factors that are influential upon the performance result of the company.

Caution: there is no fixed list of factors that must be researched. The Internal Analysis on this website offers a structure through which you don’t forget important points.