What are the significant business strategy implications of demographic trends / changes?

a) Population growth - increase in population presents both business opportunities and threats. It provides ready market for products on one hand and on the other hand posses problems with the resource depletion, pollution and a reduction in the quality of life (standards of living decrease because of constraints on basics of life such as food, shelter, clothing, education etc.
b) The Changing Attitudes and Roles of Men and Women.
Since the 1970s, one of the most notable cultural changes affecting the attitudes and roles of men and women in the marketplace. If this continues, there will be few differences in the buying patterns between men and women. Several factors have contributed to the change in attitudes. This is affecting the purchasing and consumption decision-making
c) Family and household structures: - Changing family and household structures such as late managing, few children, higher divorce rate, more working wives affect business decisions by presenting both opportunities and threats. For instance: -
• Late or no marriages will slow down sales of engagement and wedding products such as wedding rings, bridal outfits and life insurance
• Fewer children slow down the demand for baby?oriented products such as toys, food furniture and clothing plus childcare or maid services.
• A higher divorce rate creates a large number of single parents who need additional housing, furniture, appliances and other household goods.
• More working wives provide a market for better clothing, home care services and increase household family incomes that translates into greater demand higher ? quality products such as life insurance, travel and automobile services
• Household structure /characteristics such as single adult, two- people cohabiters and group households couch as religion groups and students living together, single ? parents, single and separated or divorces etc create special needs for household goods such as furniture, appliances, food etc
There is need for more housing, transport and communication, greater variety of goods and services and other social amenities .This means that business/ marketing strategy much change to cope with the new trends in terms of their mm strategy (i.e. new products, promotion, pricing and distribution).
d) Changing Values.
• Cultural values vary with age but tend to be similar for men and women. These values are reflected in the growth of products and services that are consistent with these consumers? values.
• Value consciousness?the concern for obtaining the best quality, features, and performance of a product or service for a given price that drives consumption behavior.
e) Literacy level education - affects business decisions in several ways such as quality of the workforce, increased demand for better quality products for the better educated and white collar population (such as library services, travel, secretarial services, home and personal services, protection services.
f) Ethnical and racial population ? the ethnic and racial make up of the population presents special target markets for a business firm. Each population group has special needs and wants buying habits and businesses has to direct their products and promotional manager to each group. Each ethnic group / region has its own ways of thinking planning and living and the marketing manager has to pay attention to such special characteristics .The rapidly disintegrating tribal ethics and racial barriers present business opportunities and challenges that have to adapt to such trends.

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Lellah answered the question on November 3, 2021 at 12:49