Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of goods, services, and ideas to create exchanges that satisfy individual and organisation objectives. Marketing has many ways that products are sold. It includes advertising, selling and delivering products to people. Marketers try to get the attention of target audiences by using slogans, packaging design, celebrity endorsements and general exposure in the media world. The process of developing, promoting, and distributing products to satisfy customers’ needs and wants. Marketing include 4 Ps for marketing mix that is product, place, price and promotion.
Product is the good, which is the company want to manufacture. Place is the place where the company sell the product. Price is the value of goods in the society and promotion show products to customers, e.g. advertising, newspaper etc.Marketing is a social and managerial process and individual obtained what they need and want though exchange.When somebody wants to develop a business, they should know what is the customer need and what is the customer want.
Then the company will base on demand to produce goods, which make profit for the business. And make the marketing focus on the satisfaction and goods quality of customer needs, wants and requirements. That is good for exchange between customers and companies to make the relationship well.
For whole marketing, it uses products of company to make value for business in the public way.( b ) Example:sonyToyota(finance)foodtown(customers service)Customer value is an organization’s rating of the value it provides to its customers relative to that provided by its competitors. It is the critical part of relationship marketing, achieve the customer satisfaction is the prime goal of the marketers and organization’s long-term goal is achieving through satisfying customer needs, then make profit for companies.
It needs to be seen from the customer’s viewpoint to in terms of the value s/he see in interacting with the organization. Interaction by the definition should be a two way process. However, the choice to interact with an organization rests solely with the customer. Organization must be customer centric. E.g. Food town card is a standard discount care for Food town’s customer.
( c ) 1. financial benefit(eg:foottown cardstar alliance2. social benefit—-share pation(eg.3.structural tiesA customer-loyalty-and-retention program is marketing tools to develop stronger relationships with customers. There are three ways: financial benefit, social benefit and structural ties. Financial benefit is higher offer long-term customer with bonus. E.
g. Singapore airline has a special service is star alliances, when consumers catch Singapore airplane to somewhere, consumers will get the points depends on the distance. If passengers get enough point, they will have bonus trip ticket. Social benefit is share passion and show pride for customer. E.g. somebody buy the limited sell products for the famous brands on the world that will increase her/his condition.
Structural ties are special equipment and linkage help to manage order. E.g. a company do the market research to customer for customer feedback. The company will know the business deficiency and what is consumer want or need. Customer satisfaction relates to judgements about transaction, but their long term attitude towards a service relates to the quality of the service.Question 2: The marketing environmentQ2(a)marketing environment:(b)publics:any groups which are interested and have impact on company to achichieve it’s goal.
( a )Marketing environment is a place the organization setting in, any of changes of in the environment can have impact on the organization’s performance, profit, etc. The marketing environment surrounds and impacts upon the organization. There are two key perspectives on the marketing environment, namely the macro-environment’ and the micro-environment’.
Managing the marketing function would be hard enough if the marketer had to deal only with the controllable marketing mix variables. But the company operates in a complex marketing environment, consisting of uncontrollable forces to which the company must adapt. The environment so that it can avoid the threats and take advantage of the opportunities.The micro- environment influences the organization directly. It includes suppliers that deal directly or indirectly, consumers and customers, and other local stakeholders. In this context, micro describes the relationship between firms and the driving forces that control this relationship.
It is a more local relationship, and the firm may exercise a degree of influence.Micro-environmental forces are those that are very close to the organisation, and can directly impact on its ability to serve its target markets. This includes internal organisational forces e.g.
resources, facilities and expertise and external forces e.g. customers, suppliers, marketing intermediaries and competitors forming part of the organisation’s marketing system or closely impacting upon it.Macro-environment includes all factors that can influence and organization, but that are out of their direct control. A company does not generally influence any laws. It is continuously changing, and the company needs to be flexible to adapt. There may be aggressive competition and rivalry in a market.
Globalisation means that there is always the threat of substitute products and new entrants. The wider environment is also ever changing, and the marketer needs to compensate for changes in culture, politics, economics and technology.Macro-environmental forces are broader societal forces that are external to the organisation and somewhat away from it, such as demographic, economic, and technological forces.All there factors can affect the marketing environment.( b )Financial publics influence the company’s ability to obtain funds. The major financial publics are banks, investment houses and stockholder. Media publics include newspaper, magazines and, and radio and television stations that carry news, features, and editorial opinion. Government publics, management must take government developments into account.
Marketers must often consult the company’s lawyers on issues of product safety, truth in advertising, and other matters. Citizen-action publics, a company’s marketing decisions may be questioned by consumer organizations, environmental groups, minority groups, and others. Its public relations department can help it stay in touch with consume and citizen groups.
General public, a company needs to be concerned about the general public’s attitude toward its products and activities. The public’s image of the company affects its buying. Internal publics include workers, managers, volunteers, and the board of directors.
Large companies use newsletters and other means to inform and motivate their internal publics. When employees feel and about their company, this positive attitude spills over to external publics. Citizen action publics would likely to have the greatest impact on the introduction of a new product designed to reduce signs of aging around the eyes, because citizen action publics will connect between the business and consumers to identify which source of product is useful and helpful for people.
The effect of citizen action is really huge.Question 3: Marketing research and information( a )If I am the marketing manager for a large motorcycle manufacturer, I would like to have relevant, accurate and timely information in my company’s internal database to help my decision making available. I should know the motorcycle industry information and consider the marketing share. I also should understand competitor’s information. Then, I need to decide how many motorcycles we should manufacturer, where we want to sell the motorcycle and how much we sell. At the end, do some advertisements on TV, newspaper or some other place to propagandize. ( b )Marketing information system (MIS) is consists of people, equipment, and procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to marketing decision makers. Marketing research (MR) is the systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization.
The role of marketing research is assessing market potential and market share in the whole society, and then understands customer satisfaction and consumer behavior. It could measure the effectiveness of product, price, place and promotion. It is good for a new product development and also can understand the culture, market environment.
MR collected information, can be primary or secondary that is information MIS not covered. In this situation, MR required for a specific situation in decision-making, this is different from MIS, which required for general management and decision-making. For the range, MR is a only information specific to the situation, mainly information need to solve the problem, but MIS covered wide range of information, e.g. accounting, customer service and operation.
Question 4: Major markets( a )Consumer markets is all individuals and household who buy or acquire goods and service for personal consumption. It consists of final consumers and personal use. Organization markets: organization that buy goods and services for use in the production of other product and services that are sold, rented, or supplied to others.For the similarities are both sell product to business or person, the buyers all purchase what they need and similar decision-making process, through O.M, it is more complicated.
For the differences between consumer and organizational marketing are target, consumer is business to person and an organizational market is business to business. Use, consumer is for personal consumption and an organizational market is business use to make profit or organizational use. Number of buyers, consumer has lots of buyers world-wide and organizational marketing just have fewer larger buyers, which are geographically concentrated. Repeated transaction, consumer may not being important but organizational markets repeated transaction is very important. Consumer market is elastic, but an organizational market is inelastic.
For the character of buyer, consumer has not much involvement and organizational markets have more involvement, well-trained and formal process( b )These companies should considered four factors: cultural factors, social factors, personal factors and psychological. Buyer’s culture is a basic cause of person’s want and behavior. For example, people want to buy a product, the perception will affect their feel to consider the value or quantity just depend their culture habit. A group of people with shared value system based on common life experiences and situations. Similar values, interest and behavior basis on the similar social class. Social factors reference groups like family, the roles and status are included in social factors. Personal factors are age and life-cycle stage depends on the age and life cycle stage, occupation and economic situation for the whole lifestyle.
This is personality and self-concept. Psychological is a motivation of perception to learning how to choose the product, which is people need to beliefs and attitudes. For companies to operate overseas, it is very important to understand and serve the consumer needs. They may have something in common, but their values, attitudes, and behavior of vary a lot.
This difference can be obvious and also can be subtle. Companies adapt their products and marketing programs to meet the unique cultures and needs of consumers in various markets.Question 5: Segmentation and target marketsMarket segmentation is dividing a market into distinct groups with distinct needs, characteristics, or behavior who might require separate products of marketing mixes. It is a large market, but it is a smaller target markets. It is a customer groups with similar needs and desires.
Segmentation is a better matching of customer needs, customer needs differs and enhanced profit for company to average income make price sensitivity. Segmentation also makes better opportunity for growth for customer trade- up and awareness. Retain more customers let marketing them at different life stage. Segmentation help companies to achieve competitive to implement a value-creating strategy not simultaneously being implemented by any current competitors.Limitations: Segmentation variables may not be able to divide the market into homogenous groups.
Some may be luster together. After segmenting market, still unable to decide which to target for. May be different from real market, wrong profile or variable applied, missed important variable.
Conditions of use: Market segments must be effective measurable like to purchasing power and profiles of segments, accessible to effectively reached and served, substantial for large or profitable enough to serve, differentiable with conceptually different and respond different, and actionable of effective programs can be designed for attracting and serving the segments.