Market Environment Analysis - Micro TrendsThe micro environment is what is close to a company and influences its ability to serve its consumers. It includes competitors, consumers, the company itself, companies in its market channel, and customer markets (Law, 2009). In this case, the two trends that influence Masters the most would be competitors and consumers. According to Magner (2014), the Australian hardware retail market is quite competitive with almost 56.3% of its revenue generated by the top 4 players. Bunning's has significant influence on the market and is the largest player in the industry. Masters Stores employed rapid expansion to counter this problem. A sure way for Masters Stores to triumph over Bunning's is to provide greater value and satisfaction to the consumer. Therefore, they must do more than adapt to consumer needs. They must also gain a strategic advantage by strongly positioning their offering relative to what their competitors can offer (Kotler, Armstrong, Agnihotri, & Haque, 2010). Another important micro trend would be the Consumer. Throughout the marketing process, the main emphasis always falls on consumers since they are the most important players in the company's microenvironment. The entire objective of the marketing process addresses the needs of consumers and aims to create a strong relationship with them (Kotler et all, 2010). Masters must focus on generating commitment and trust from their consumers. These attributes ultimately translate into loyalty and therefore represent a strategic objective and a sure source of long-term profitability (Miquel, Caplliure, & Adame, 2014). The success of the marketing war has declined at the retail level due to the rise of independent consumers. They are unable to have “control… middle of paper… competitive advantage that is serving them well. As its full expansion plan is expected to be completed in the next 5 years, Masters may also delve into technological aspects such as implementing the use of RFID tags on consumers frequenting stores. This would greatly help inventory optimization and help Masters better serve their consumers. As stated earlier, employees are a key to the success of an organization and play a vital role in providing the service to the consumer. Masters has already provided a pleasant shopping experience through its welcoming environment. An employee who is able to provide the consumer with exactly what they want in a timely manner and in the most efficient manner would enable the consumer to have a perfectly satisfactory experience at Masters and this would encourage brand loyalty and be good for Masters' reputation.