Principles and Practice of Marketing Management - Coursework Example

Principles and Practice of Marketing Management Overview Provide an argument which links together the following: Your own definition of marketing embracing at least 2 sources; The concept of marketing; Supply and demand; The dynamic environment. Marketing is dealing about future demand of a product (Duus, 1997). Marketing is about trying to create a demand for your product and services. It is a modern approach to let everyone know about an existing products and services. Without marketing, the best produced product cannot be entirely recognised in the market. Therefore, it is not true that producing the best mousetrap in the world will let everyone beats the path into the producer’s door. Marketing is a matter of creating a demand. This is evident in the recurring TV commercials. The purpose of such marketing activities is to let everyone learn about the product and eventually instill into the minds of consumers that the product is existing and available in the market. Marketing is about simply giving information aside from creating a demand. In the first place, marketing is telling something about the product or services to be offered and this is for the sake of educating consumers, buyers or users. It is a fact that with marketing, since it is about creating a demand about the product, then the company producing such product and applying marketing concepts is eventually will need to ensure its supply is available in the market. This is evident in which upon broadcasting the product in the national television, it is already ensured that the availability or supply of such product is found in the market for easy access of consumers. After all, marketing is about meeting customer needs more than the competition itself (Jobber, 2007). As observed, products and services offered by companies do not get much attention because of poor information that is communicated to the people that the company or product exists. People at some point may either know of a business’s products and services offered but they do not care because they are not aware about its details or they are not familiar of the product’s existence. Marketing concept is about target market, customer needs, integrated marketing and profitability (McCarthy and Perrault, 2000). In today’s competitive world and in which almost everything is set up in competition, marketing must undergo further innovation to simply create a competitive advantage. In this dynamic environment, there is a need to double the effort in creating demand and such can be observed through marketing innovations. Competition is becoming fierce due to the availability of good number of marketing media. It is becoming a way of life of companies. With this competition, customer needs is highly viewed necessary in all aspects of the marketing concept. After all, Kotler (2002) described marketing as a customer centered approach. 2. Marketing Factors Provide an argument which links together following: Marketing information systems; Marketing research; Segmentation; Targeting; Positioning. It is important to consider that in order for marketing to function well, there is a need to build for marketing information systems, conduct marketing research, segmentation, targeting and positioning. These are all specific moves to be taken into consideration so as to come up with strategies that point out to the satisfaction of customers. In fact, study reveals that many firms are trying to create a link between their marketing plans and information resources (Li, et al., 2001). These firms are using information system for their own consumption of information prior to their need to do marketing. In the age of information technology revolution, many firms are using advanced information system to do marketing activities. With information system, managers are benefited to gather information and enhance their sales by learning about their business, communicate with brokers and buyers and monitor performance (Goldstein, 1990). Part of the marketing-driven management is the inclusion of the right structure and system and marketing research being anchored to marketing information systems (Jobber, 2007). This implies that with marketing information systems, the implementation of marketing research, segmentation, targeting and positioning has become sophisticated. In this sophistication, it is now easy to see firms using marketing information system to conduct marketing research activities that allow them to know their trading area with full understanding of their target buyer’s preferred choices. It is therefore clear that there is a strong link between marketing research and segmentation, targeting and positioning activities. These can lead to marketing knowledge as an input to declare a timely, relevant and near-accurate marketing decision in particular and business solution in general. The bottom line of these all is just to be able to assess how a company performs, know how competitors move, and know more about the business so as to develop what seems to be appropriate in a trading area, know who are the major players and to specifically understand what others are doing in order be at an advantage over other key group of business actors. Fortunately, in today’s advancement of technology and development of advanced marketing information system, it is now easy to conduct marketing research, segmentation, targeting, positioning and other marketing-related activities. There is a need to do all these because marketing needs to be customer centered part of this principle is to understand more about the customer needs and demands and these can be essentially addressed if there is consideration on marketing information system, marketing research, segmentation, targeting and positioning (Jobber, 2007). 3. Product Provide an argument which links together the following: Business Growth Matrix (Ansoff, H. I.); Product; Price; Place; Promotion. Business growth matrix, price, place and promotion are all associated with the product. It is important to understand each of this prior to effectively create the best marketing opportunity for a certain product and in general, create competitive advantage. As observed, a company should be at an advantage over other competing companies (Kotler, 2002). This is a specific business growth strategy. In order to implement this properly, there is a remarkable need to consider various marketing activities in product, price, place and promotion (Solomon and Stuart, 1997). After all, the marketing mix is a specific guide to how specifically satisfy the needs of target customers (McCarthy and Perrault, 2000). Intuitively, satisfying the needs of customers is an advantage for this is the beginning of creating growth for the product to stay in the competition. Remarkably, in order for the product to be on top, there is a need to adjust for its price, there is a careful consideration of its distribution from the manufacturer down to the consumers and finally, it is important that the message about the product should be effective and can reach to the target market (Solomon, 1997). Clearly, the product itself is associated with its price, the place of its distribution and promotion. For instance, in the case of advertising, the product itself needs to convey a significant message to its consumers. This is to ensure to develop understanding about it so as to convince costumers to use or make a try on it. For instance, advertising of products can significantly communicate to large audiences about its features, advantages and benefits over the other products in a cost-effective way (Belch and Belch, 1998). Thus, there is no question why advertisements of products or services always carry the essentials particularly on price and where it is available. These are all necessary information about the product and in fact, these are all the basics that need to be required in order to continue business growth strategy. It is important to sell enough good at a reasonable price and establish integration with the communities (Kotler, 2002) just to name a few of considerations in order to create competitive advantage of a product. Without question, this is agreed by Porter (1980) since he believes that the generic competitive strategies must include overall cost leadership, differentiation and focus. Specifically, this involves prior consideration on the four marketing mix: product, price, place and promotion. 4. Price Provide an argument which links together the following: Price elasticlty of demand; Lowering prices; Raising prices. There is a need to consider price considering that most likely each customer’s decision is to be influenced by product’s price (Hirschey and Pappas, 1996). That is why an organisation needs to know price elasticity of demand prior to lowering prices or raising prices. Lowering or raising prices are essential marketing activities. This can either create a demand for the product or loss them (McCarthy and Perrault, 2000). Thus, there are some specific strategies in which the demands for the product is controlled so as to continue produce it for future consumption (Kondo et al., 2009). Such strategy is built on the main marketing concept about creating a demand focus on the need of customers. Thus, measuring of product elasticity is another way of measuring or analysing company performance (Eilon, 1983). Lowering or increasing prices are specific marketing activities that tend to consider reaching competitive advantage (Porter, 1980). These two are specific marketing activities that address customer needs as the main focus or priority (McCarthy and Perrault, 2000). There is always the right time to increase or lower prices of products and in marketing activity this is widely influenced by price elasticity of demand as usually discovered in marketing research activities (Kotler, 2002). In marketing research activities, the main objective is to know the need of customers and prior to that need, there is an association of price and product concerns (McCarthy and Perrault, 2000). Thus, it remains an important issue to investigate further as to what level or point is customer willing to pay for a certain product. Such activity is created prior to the move in increasing or decreasing a product price. Thus, it is clear that understanding price elasticity of demand and increasing or lowering price of a product are indeed important marketing activities to be considered. They are all associated and marketing research plays significant role in order to successfully implement them. Some customers are indeed price sensitive (Solomon, 1997). It is important to take them into consideration especially if they constituted the largest segment for a certain product. Thus, the marketing concept would always go back to the basic and this is all about understanding customer needs that will eventually give them satisfaction. Customer satisfaction is always a big issue in marketing concept. It is however important to consider that at some point customer satisfaction is tied up to the product price (Solomon and Stuart, 1997). Thus, it is important to take it into account that prior to the lowering or increasing product’s price, there is a remarkable need to understand deeply the product’s price elasticity of demand. 5. Promotion Provide an argument which links together the following: Integrated marketing communications; Corporate social responsibility. There are many ways on how to kill a dog. In the same way, there are many ways on how to promote a product. Promotion is another important marketing activity and with this, there is a substantial need to focus on the current trend or what is prevailing in the actual marketing activity. The prevailing trend in the context of marketing promotion activities are integrated marketing communications as well as corporate social responsibility (Belch and Belch, 1998; Jobber, 2007). Marketing and promotional tools must have coordination in order to create effective communication and consistent image of products to target markets (Belch and Belch). This can be clearly elaborated by various marketing strategies prior to effective coordination of marketing communication and the image of products to the customers. For instance, in sport activity, various product promotions are involved. In tennis for instance, professional tennis players are becoming ambassadors of different line of products related to sports or even products that convey the message about elegance, accuracy or precision. All of these images are directly associated to how a certain player plays a game. There must be a remarkable consideration that all of these are significantly viewed on various media. The media has become so influential that it is one of the best applied marketing tools for promotion of products (Belch and Belch, 1998). However, large corporations nowadays do not just simply rely on integrated marketing communications. Most advanced firms are trying to find sustainability of their business with corporate social responsibility (Truscott et al., 2009; Bartlett, 2007). It is important to consider that most companies indeed are trying to go for corporate social responsibility as one of effective means to maintain sustainability or competitive advantage discussed by Porter (1980). In this regard, these companies are simply showing more humane act and not purely business itself. It is gaining popularity because many firms are trying to take this as one of the best important marketing strategies that does not only promote products and service offering but at the same time, it is considered one of considerable humane acts (Truscott et al., 2009). This remarkably sustains business but the most important is it tries to impart product or company’s image at the deepest level because it involves more of the aspect of human social life. The bottom line of this argument is that marketing communications have continuously evolved and its evolution is primarily in line with the achievement of competitive advantage through effective and efficient marketing communication. 6. Place Provide an argument which links together the following: Retail strategy; Involvement; Customers. Place is another important consideration in marketing. Finding for a better place to distribute or promote a product is necessary. The consideration for the perfect place for product’s distribution includes about strategy, involvement and customers. It is important to consider the right strategy used. It is important to consider the level of involvement employed and finally the behavior of customers or the direction of customers. For instance, in supermarkets, the placements of comfort room for instance have specific and remarkable intention. The purpose is to convey the message of product’s image particularly on how it is marketed (Belch and Belch, 1998; McCarthy and Perrault, 2000). This is a perfect example of a retail strategy. However, within this strategy, it is important to consider that there must exist involvement between customer and the retailer so as to effectively communicate the message or image of the product. Thus, it is important to understand customer behaviors and this involve not just purely marketing but understanding of customer’s behavior. The design of retail strategy therefore must be in line with having open access to consumers or target markets so as to allow involvement between the producer and consumer. Strategic policies must be implemented then (McCarthy and Perrault, 2000). For instance, a product that has a specific demand or need must be able to be placed in a conceivable retail outlet. Again, this is to ensure that the target customers can actually buy or learn more about the products. This actually involves the concept of involvement between customers and producers. With this in mind, the purpose of choosing the best place to market or distribute products must be within the area where customers can have easy access of them. Thus, it remains a fact that the best retail strategy is to actually take into account the easy access of customers to a certain product or service. This is again another consideration of marketing concept in which customers are considered the priority prior to access of products and services. Marketing therefore tries to consider not just organisational goals but the bottom line is to provide customers with ease and comfort upon access of the products and services. This is actually proved by the fact that there are various marketing strategies and even retail strategies in which the goal is to have dynamic involvement between customers and producers. After all, the best mousetrap in the world needs to be placed somewhere. In there, customers must have a great view of the product and can eventually learn more about it. References Belch, G. E., Belch, M. A. (1998) Advertising and Promotion. North America: McGraw-Hill. 3 Duus, H. J. (1997) ‘Economic foundations for an entrepreneurial marketing concept.’ Scandinavian Journal of Management, Vol. 13(3): 287-305. Eilon, S. (1983) ‘Three price elasticities of demand.’ Omega, Vol. 11(5): 479-490. Goldstein, D. K. (1990) ‘Information support for sales and marketing: A case study at a small grocery manufacturer.’ Information & Management, Vol. 19(4): 257-268. Golob, U., and Bartlett, J. 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(1997). Marketing (int’l ed.). New York: Mc Graw-Hill. Solomon, M.R. & Stuart, E.W. (1997). Marketing: real people, real choices (int’l ed.). Singapore: Prentice Hall. Truscott, R. A., Bartlett, J. L., and Tywoniak, S. A. (2009) ‘The reputation of the corporate social responsibility industry in Australia.’ Australasian Marketing Journal, Vol. 17(2): 84-91. Read More