Final answer:
The process of identifying various external factors that can affect a company's marketing success is known as environmental scanning. It includes recognizing trends in technology and globalization that expand competition and market opportunities. Economists analyze these changing factors simultaneously to understand their collective impact on markets.
Step-by-step explanation:
The process of identifying factors that can affect a company's marketing success, such as global, technological, sociocultural, competitive, and economic influences, is called environmental scanning. This involves continually acquiring information on events occurring outside the organization to identify and interpret potential trends. These trends pertain to the marketplace and how they influence the way markets are defined, particularly under the recent shifts centered on technology and globalization.
Companies like Oberweis must consider their positioning in relation to a myriad of environmental factors. These include advancements in communication technologies, which allow consumers to order products from anywhere, essentially increasing competition for local businesses. Similarly, the advent of business-to-business (B2B) websites has dramatically expanded the marketplace, allowing buyers and suppliers to connect globally.
When analyzing a market, economists take into account multiple changing factors simultaneously. This multifaceted approach ensures a comprehensive understanding of the various aspects that can drive market success or create potential challenges for companies.