This is done by mutual exchange and fulfillment of promises.
‘ (Grosses 1990, Principles of marketing, F Broadcasting & S Pipette pig 1 0) Certain products may be designed Initially for a certain type of customer base however may generate Its profits from a totally different segment. For example, If we study Mason’s ‘hierarchy of needs’ we can see that the model identifies five types of needs that individual’s strive for. The model illustrates how marketing activity can be found to fit all five levels of the hierarchy.To develop to our full potential Recognition of contribution, self respect, achievement Being a part of a group, acceptance from colleagues Protection from Injury or attack The basic needs for survival shelter, food, warmth etc (Source: www. Dealer-steel. Com/ Moscow. SHTML) My Experience ‘Monika’ is the world’s leading mobile phone supplier and a leading supplier of mobile and fixed telecoms networks. In the late ass’s period ‘Monika’ revolutionized the mobile phone era by launching Its ‘5146’ model phone.
This was Initially designed for professional people such as doctors and office employees, however they did not realist the impact it would have n teenagers AT all age groups. Sales rocketed as people AT all age groups Trot 1 50 were purchasing the phones. The phone was produced in a way that it was user friendly as it was quite basic but also had many accessories to it.
For example, its changeable face and games appealed mainly to the younger audience as teenagers were seen as cool if they had the phone. So by the company aiming to fulfill consumer needs they may generate more profit.How is it connected? By studying Mascots ‘hierarchy of needs’ we are able to see how ‘Monika’ markets to different customers. Ionians’ user friendly functions allow customers to bring repeat business as they are comfortable with the handsets which is a huge advantage as people are satisfied with the product and have a sense of loyalty. This relates with the physiological needs in Mascots ‘hierarchy of needs’ as middle aged consumers who are not easily influenced by trends would be happy to consume a user friendly mobile that does the Job.Moving up the hierarchy we could see that ‘Monika’ meets ‘safety needs’ as most consumers insure their mobiles to be safe. Furthermore, ‘Monika’ market well to fulfill social needs of consumers as they know that people do not like to be lonely so they may use the phone to keep in touch with family and friends through text or video calls. In addition to this, ‘Monika’ mainly aims to fulfill consumers esteem needs as many consumers purchase high priced phones with new technological functions so that they can feel respected amongst friends as it will reflect on their status.
This relates to teenagers as well who download music and video clips onto their phones. Session title: The role of marketing in society Corporate Social Responsibility Corporate social responsibility has been in the centre of many controversial issues in the business world. There are many who believe that organizations do not need to take social responsibility whilst conducting business as organizations primary goals is to make profit. ‘The only social responsibility a business has is to increase its profits.
(Milton Freeman 1 In contrast to this in today’s world there is more awareness of social and ethical methods to conduct business as it reflects on an organization’s image. My experience In 1998 Gallo Smithies launched an operation to provide free drugs to help eliminate the tropical disease ‘elephantiasis’ by the year 2020. This operation cost Gallo Smithies around El billion, half on the production of the drug and the other half on the distribution. The company explained that it was donating the drug as they felt that they had a duty to help the communities in which they worked and traded. The single biggest act of corporate philanthropy in any industry (Financial Times, weekend FT 13 Novo: 1) In addition to this, in 2001 the company only handed out approximately a hundred doses compared to the proposed dose of a million.
There were many factors that influenced this such as: it was immensely difficult to integrate a drug of this expense in a poor country health system as it may result in black market trade and potential theft of supplies. In addition to this health authorities in the African countries were not keen on the idea.They believed that it was an experiment to see whether the drug worked and they were the dummies to test on. Furthermore, the donation of such quantities of drugs meant that the world health organization struggled to distribute the drug as they didn’t know who to distribute to. Corporate social responsibility plays a huge role in the marketing of an organization’s image.
Even though only a hundred doses where given out their proposed offer sent out a positive image of the company around the world.Gallo Smithies distributed the drugs knowing that it would give their company a positive image in the eyes of many people such as: investors, potential customers, charities, organizations and the government. Whether we see it as a ‘PR’ stunt or not Gallo Shininess’s operation gained more recognition for the company. This was a smart move on their behalf as by practicing Corporate social responsibility there will be a chain reaction in favor of the company.For example, there would be a more positive view on the company’s image which would result in more investors such as shareholders and stakeholders that can lead to more revenue Tort ten company; tens wall result In an Impair performance. Atlanta Furthermore, improved financial performance will increase employee commitment as they would feel that if the company is doing better they would benefit as well, such as; increased pay, better working conditions. Gallo Smithies would also have built a positive relationship with the government ND other communities such as charities as they would applaud such donations for a good cause.
Taking all these factors under consideration Gallo Smithies will receive long term returns on their investments as they have the support of many. This illustrates that ‘Corporate social responsibility is a key tool in the marketing of a company in today’s business world. Session title: The marketing environment (session 3) SOOT Analysts As there is immense competition in today’s business world, companies have to come up with various strategies to be able to stay ahead of competition.By undertaking a SOOT analysis’ companies are able to decide what strategy is best for them. ‘SOOT analysis’ is a means of examining a firm’s Strengths, Weaknesses, Opportunities and Threats. A ‘SOOT analysis’ is an immensely valuable method as it allows managers to look at the companies present and future position.
In many situations a company’s manager would wait for a crisis and then look at the company’s position however, by undertaking a ‘SOOT analysis’ such a crisis can be avoided.For example, by recognizing a company’s weaknesses and threats a manager could prevent a crisis that may arise in the future. McDonald’s is the world’s leading foddering retailer with more than 30,000 local restaurants. The company serves around 50 million people in more than 119 countries on a daily basis.
McDonald’s is one of the world’s most well known and valuable brands and holds the leading share in the globally branded ‘informal eating – out’ market in nearly every country that it conducts business in.McDonald’s was first established in 1954 and has managed to stay ahead of all competition for over half a century. This shows that the company is moving and expanding rapidly as more opportunities are arising for McDonald’s to conduct Dustless.
For example, places In Salsa sun as Pakistan, sir Lankan would not McDonald’s outlets 5 or 10 years ago but now have outlets in major cities. Nave Ana Like all major companies McDonald’s uses many strategies to stay ahead in the market and a ‘SOOT analysis’ is a key element in helping the company decide which direction to take.For example, by analyzing their strengths McDonald’s knows that it has a strong brand name; this will make it easier for the company to launch new products as potential customers may be intrigued as they expect a certain standard from a company such as McDonald’s In addition to this, strength of McDonald’s is that it has a strong distribution channel; this helps the company as by having so many outlets they are able to generate revenue and gain market share. By examining their weaknesses McDonald’s can improve the performance of its company and concentrate on other areas.
For example, high costs can be seen as a weakness. If the company has a large number of high street outlets and do not necessarily need one then it would be smart to close down that particular outlet. High street outlets are expensive so if a certain outlet is not generating enough avenue then it would be smart to eliminate that constraint. McDonald’s being the market leader looks for new opportunities to expand the company. For example, there is now a trend where more people are now health conscious; taking this under consideration McDonald’s launched their salad menu to attract consumers who are health conscious.
This relates in with the company’s threats,’ there are new competitors in the market such as Subway who offer an alternative to burgers and fries. So taking this into consideration McDonald’s launched its deli sandwich menu that offers a healthy alternative to burgers and fries. This helps generate more revenue as there is more choice. Session Title: Identifying and describing customers (session 5) Segmentation Segmentation is a means of dividing up a market to identify consumers with similar needs.For a company to achieve good return on their products they have to make sure they could fill the need of a consumer; they have to make sure that there is a market for the product or service.
For example, who is the product targeted act? Age, gender and social status are few of the factors that a company has to think about whilst creating a product or service. However ten modern concept AT segmentation Touches on winy people Dye products Tort example, to feel better about themselves? As a present for someone? Or to reward themselves?By identifying different groups in a market, a company can offer products that match the requirements of the consumers. Volkswagen first arrived in the UK in 1952 when the company sold its first two Beetles. In 1953 Volkswagen Motors Ltd became the official I-J importer, and the company has never looked back since as it went strength to strength.
The company then brought many vehicles of different styles to the I-J, for example the Pasta arrived in 1973; the Golf was imported in 1974 while the last Beetle built in Europe arrived in the UK in 1978.In 1978 the company centralized its operations and moved into its new EH. 5 million headquarters in Blandness, Milton Keynes. This is where Volkswagen controls its sourcing, marketing and distribution of all vehicles and parts in the I-J. By 1987 the 1 millionth Volkswagen was sold in the I-J, and in 1993 Volkswagen GAG took control of the importer-ship and the 2 millionth Volkswagen was imported.
At present Volkswagen I-J is one of the country largest importers of icicles; the company employs around 600 people nationwide and has 260 retailers across the I-J.By segmenting their product Volkswagen has managed to become one of the country largest importers of vehicles; they have used segmentation effectively to market their product to certain people. Volkswagen markets its products by identifying who the product relates to. For example, the Volkswagen Golf is aimed at attracting younger drivers as the car has street appeal around the country. The car is fairly small and therefore is economical as well which attracts younger drivers such s students.
In contrast to this another factor that the company looks at is gender.For example, the Volkswagen Battle’ is marketed mainly for women. It is seen as a cute car for girls and has many bright colors such as yellow, pink and lime green that attract the female consumers. Furthermore, another factor that the company considers is that of income and social status; for example, the Volkswagen ‘Pasta’ and the Volkswagen ‘Jeep’ are targeted for consumers with high disposable income. These cars are high maintenance cars which are pricey to run but have a market for people with a high social status.So by segmenting their products Volkswagen has managed to target a wide range of consumers and have benefited for nearly half a century.
Session Title: Promotion and Distribution (session 7) Promotion Promotion Is walkout a auto a major element In a company’s campaign to launch a product or service; without promotion other elements of the marketing mix will be useless. For example, a company may have a strong product but it will be useless if the consumers are not aware of it. By promoting, companies communicate messages to existing or potential customers: Below are ways in which companies promote their products.Sales promotions Advertising Direct mail Public relations Personal selling The Coca Cola Company is a great example to look at when examining promotion; the company utilities all the promotional tools to communicate with customers. For example, the Coca Cola brand can be seen everywhere from high street billboards to major sporting events.
‘The Coca-Cola Company exists to benefit and refresh everyone it touches. Founded in 1886, our Company is the world’s leading manufacturer, marketer, and distributor of nonalcoholic beverage concentrates and syrups, used to produce nearly 400 beverage brands.Our corporate headquarters are in Atlanta, with local operations in over 200 countries around the world. ‘ (http://www. Coca-cola. Com/index.
HTML) The Coca Cola Company uses all five elements in the above diagram to promote their products. For example, through T. V. Advertising the company covers a wide range of people throughout the world; this benefit’s the Coca Cola as they are in control of their message; in addition to this advertising could be used to build brand loyalty.Through advertising Coca Cola also use sales promotion to send information on offers; this generates income for the company as customers are made aware of offers such as ‘buy one get one free. ‘ Furthermore, by the company using public relation and direct mail methods they enhance their image by sending out messages; this is quite effective as it is a relatively cheap method of communicating with their customers.
In addition to this, by personal selling the company can have two way communications with the customers which reflects well on the company’s image as it may look like they care about the customer’s feedback.