Toate mentiunile facute valabile pt ambele lucrari.

MARKETING PRINCIPLES

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aliniate
Intr un assignment vrea diferite exemple, sa nu se repete nicodata.
Vrea din slides toate definitiile cu referinte
MR, MS, MM sa vorbim despre fiecare in parte macar cate un paragraph.
Vrea doar paragrafe niciodata bullets or liniute doar paragrafe.
Nu vrea propozitii foarte scurte
TASK 1

a) Discuss briefly what you think is a good description of the concept of marketing
you also discuss what you understand are the elements of the marketing process
that organizations usually have to follow in marketing their products and
services

In the conception of great marketing specialist, Kotler, Marketing is a social and

managerial process through which individuals and groups of individuals get what they need
and want through creating, offering and exchanging products of a particular value. (Kotler,
1997)
Elisabeth Hill and Terry O'Sullivan believes that marketing is a business philosophy that
sees the customer satisfaction, the key to success in business, and recommends understanding
management practices that help identify and solve customer requirements. (Hill, Elisabeth,
2005)
Elements of marketing process:
Situation Analysis: This will help the organisation to understand the environment in which it
operates at the same time understanding its competitors and stakeholders. It also helps the
company to understand the gap between what consumers want and what is being currently
offer. Various frame works such as PEST and SWOT analysis can be conducted for this
purpose. (Kumar, 2010)
Marketing strategy: once the appropriate strategy for satisfying customers unfulfilled needs,
is identifying a plan of strategy in order to pursue the opportunities which must be developed
by a company. This is enabling the company for making plans and acting accordingly for

fulfilling the company goals. Some of the strategies of the marketing are that a company must
conduct its segmentation, targeting and positioning.
Marketing mix: Marketing mix is an integral part of business which needs to make sure that
they are marketing the right product to, the right person at, the right price in, the right place
and at the right time. (Kumar, 2010) The decisions for marketing mix for a company products
include the development of the products, decisions regarding prices, contracts distribution,
and development of promotional strategies.
Implementation and Control: Final stage of the process of marketing is implementing the
strategy of the marketing and keeping an eye on its progress. If actions are not going
according to the plan then corrective action must be taken for properly management.
Marketing process has 4 steps:
STEP 1: Marketing Audit:

Because the business environment is constantly changing, a marketing audit should be

used as a reference tool, with constant updates reflecting changes in the external

environment and internal business experiences

The marketing audit considers both internal and external influences on marketing

planning, as well as a review of the plan itself

It examines the marketing mix the mix of marketing strategies used to reach
marketing objectives

This is the analysis of the possible or probable effects of external forces and conditions on an
organisations survival and growth strategies
A PEST (or STEP) analysis requires listing all the relevant external forces using four
headings:

Political vorbeste despre political, despre brexit ca exemplu

Economic vb more
Sociological
Technological

It does not matter that some items might be both political and economic (such as taxation)
The SWOT analysis is an extremely useful tool for understanding and decision-making for
all sorts of situations in business and organizations. SWOT is an acronym for Strengths,
Weaknesses, Opportunities, and Threats. Information about the origins and inventors of
SWOT analysis is below. The SWOT analysis headings provide a good framework for
reviewing strategy, position and direction of a company or business proposition, or any other
idea.
STEP 2: Marketing strategy by setting the objectives
Marketing objectives need to be seen as part of a hierarchy of objectives. Marketing
objectives shape the marketing strategies and marketing tactics employed.
Objectives include:

Maintaining or increasing market share

Developing new products/innovation
Meeting the needs of customers
Entering a new market/market positioning
Gaining an advantage over competitors

STEP 3: Marketing mix decisions

A. Product: a product can be seen as the item which is satisfying the demands of
the customers which might be tangible products or services which are
intangible.

B. Price: is being about the amount which is being paid by the customers for the
products and is having a great importance as is determining the profit of the
companies and for that their survival.
C. Promotion: the most important aspect when it comes of putting promotions
into products within the company is attracting customers for the business and
making them feel that they do purchases which are convenient which make
them happy and convinced that they paid a great price.
D. Place: is referring to the products providers within the place, which is being
convenient for the customers to access.

STEP 4: Action and control expand more

Actions means to do all the activities planned in the 4-P like the actual advertising, the design
of the advert, filming it and contracting the actors. Other actions are Promotion and Public
Relations and actually producing the product itself.
The Control is to make sure all the process steps are going as planned with high quality and
good timing to have full customer satisfaction at the end of the marketing exchange flow.

b) Discuss what you understand with the concept of 'Marketing Orientation'. In

you answer you should also include three benefits a marketing orientation
approach. Give one examples of one organization that follows a marketing
orientation approach

Aceste 2 paragrafe sunt in ambele lucrari, please change one of them

See slides
Atentie la referinte care lipsesc
A marketing orientated (MO) approach means a business reacts to what customers want.
Decisions are based around information about customers needs and wants, rather than what
the business thinks is right for the customer.
Most markets are moving towards a more market-oriented approach because customers
have

become

more

knowledgeable

and

require

more

variety

and

better quality. To compete, businesses need to be more sensitive to their customers needs
otherwise they will lose sales.
Market orientation deals with Needs, wants & demand
Needs are the basic human requirements such as for air, food, water, clothing, and shelter.
Humans also have strong needs for recreation, education, and entertainment. These needs
become wants when they are directed to specific objects that might satisfy the need.
Wants are shaped by our society. Demands are wants for specific products backed by an
ability to pay. Many people want a Mercedes; only a few are able to buy one. Companies
must measure not only how many people want their product, but also how many are willing
and able to buy it.
Demands are wants for specific products backed by an ability to pay. Many people want a
Mercedes; only a few are able to buy one. Companies must measure not only how many
people want their product, but also how many are willing and able to buy it.

Before starting a marketing campaign, the company must find out essential aspects about
promotional and advertising efforts. The company also must find out if all these efforts for o
marketing campaign worth the money and time involved. Cost is being monetary measured
while their benefits are being return immediate or are having benefits on long terms.
(Stanley, 2002)
Costs and benefits for a company are being presented below:
Benefits of marketing orientation
Customer centric: this process represents a customer centric and Starbucks is giving
importance on the needs and demands of the customers;
Address the demand: A company is reacting with the demand of the customers;
Making benefits for customers: This process is helping the company into creating buyer value
for increasing the loyalty of customers and shopping frequently.
Competitive advantage: The Company is developing products and services which are having
their base on the needs and demands of the customers; is ensuring the full use of their
products and services which is giving them competitiveness over their competitors.
Costs of marketing orientation
Costly and comprehensive research: it is cost ineffective and a company is spending lots of
money in marketing research which cannot be performed by organisations which are small.
Deficiency of predictability: within market orientation the development of the product is
tough because customers are having different choices.
A company is adopting the marketing mix which is employing a marketing strategy
using the 4Ps which is represented by product, promotion, price and place. Each aspect is

important and is playing an essential role in the process of marketing. Marketing represents a
wide area within the company is managing into taking the full advantage of it in as would be
the number one company in coffee and brewing products. (Stanley, 2002)

c) Discuss 3 examples of real factors that marketing departments have to consider

as either a macro or micro environmental factors that impacts any industry. In
your answer you utilize the SWOT, PESTEL to help you formulate real examples

Political more
One political factor, the recession is one of the principal spectrums which at present affect all
the countries that can lead to highly unemployment numbers. As one of the largely and
quickly increasing retailers more jobs which are being available with a company
consequently helps reducing the unemployment levels.
Economic more
One of competitive advantage of a company at present relating to their overwhelming
presence which are physical, there are problems about a company drive out the competition
from other companies. Under law of EU, there is suspicious that a company with a market
share which are largely is dominant. The concerning with this are the products and services
quality are slip and there is a risk of to pay a prices which are high.

Social
Social factor are involving the trends of lifestyle, demographics attitudes and opinions of
clients, clients buy patterns events which are majorly and are influencing the buying access
and trends into a company considerations such as the rising in Eastern Europeans
immigration or rising on young professionals.
Technological
Technological factors has the most important impact on the operations of a company has be
the rising in the internet using. Internet is giving a shape which is new for daily shopping.
They are capitalising on the online shopping use from site of a company directly and are
providing service of delivery via their website at www.tesco.com this is helpful for
organisation to satisfy a number of people which are largely at their convenience.
Environmental
Are implemented strategies by the government and activists which are green for reducing the
warming at global level. A company may have an impact on warming of glob which are
major and the fossil fuels burning. Due to tradable permits and image which are social, a
company may cut on emission and execute strategies for being greener.
Legal
Within 2010 England Bank are announcing an increase of VAT to 17.5% to 20%. This thanks
of government had for financing the increase deficit of budget. This grow are affecting the
profit of a company, because client can change their performance of buying and are saving
more as their confidence into the Government Economy has decrease.

TASK 2
a) Discuss with your new Manager at least three major factors that will influence
consumer buying behaviour. In your answer gives some real example of customer
behaviour in central London.
Task 2 b vrea mai multe exemple
Referinte
Market segmentation see slides
More examples from real life breckfast, babies etc
FACTORS THAT WILL INFLUENCE CONSUMER BUYING BEHAVIOUR
Environmental influences no bullets paragrafe si vb mai mult

Economic environment disposable income, taxation levels and job security

Natural environment shortage of raw materials, increased cost of energy
Technological environment technological change, economies of scale
Political environment legislation regulating business, increased emphasis on ethics

and socially responsible actions

Cultural environment cultural values, subcultures, shifts in secondary cultural values

Personal variables paragrafe, more

Demographic age, gender, life cycle

Sociological social status, class or caste
Psychological:
o Attitude
o Motivation
o Perception
o Learning
Physiological
Lifestyle

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Demographics paragrafe peste tot - expand

Age consumer needs and wants change with age although many may still wish to buy the
same types of product
Life-cycle stage consumer stage in the life cycle is an important variable, particularly in
markets such as leisure and tourism
Gender gender segmentation is widely used in consumer marketing; best examples include
clothing, hairdressing, magazines and toiletries and cosmetics
Sociological factors

A customers buying behaviour is influenced by social factors, such as the groups to

which the customer belongs and social status (posh, rich, student, low income,

banker, trader etc)

Social class impact behaviour. Also people impact how you act and think about

yourself peer pressure

Social grade classifications, such as the Jicnar scale (A, B, C1, C2, D, E), can be used

in the segmentation of consumer markets

Caste or clan influences

Whether a company is a multinational retail chain or a local grocery store, understanding

the buyer behaviour make the company understand their customers. The buyer behaviour is
affecting the company campaigns on internet because the company is having a website page
where they customers can sing up and interact effectively with the company. (Satrbucks,
2015)
The buyers behaviour affects the prices. The organisation analyse the customers wants
which regards the spending, the type of they products which they prefer, how often people are

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spending money on buying products and it helps the company into being able to determine
the policies which regards the prices and which run the business promotions and discounts.
Buying behaviour is made up of the internal and external factors that explain why
consumers buy and use certain products or services. This type of behaviour can affect the
marketing strategy that a business employs to promote its products, and when this behaviour
is analyzed, it can guide a business toward better marketing strategies and methods that it
might not have originally used.(eHow Contributor)

b) During the interview you must show that Market segmentation is important for
you new job. Discuss with you Manager what you think is Market Segmentation.
In your answer include the purpose and requirements and 2 types of
segmentation
Zice ca asta nu e segmentation see slideds
Types 1 la 6 de emunerat si allege 2 types si vb despe ele
Market segmentation divides a market into well-defined slices. A market segment consists
of a group of customers who share a similar set of needs and wants. The marketers task is to
identify the appropriate number and nature of market segments and decide which one(s) to

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target. Some researchers try to define segments by looking at descriptive characteristics:

geographic, demographic, and psychographic
The company products and services must:

Define and categorize various types of customers which are existing;

Choosing from the customers which have been categorized, the group which the

company has produced will meet the customers needs;

Implementing by forming the products which are meeting the needs of the customers.

Segmentation: involves the customer classification into various groups according to their
needs. These marketing approaches and the company retail is facing with being able to adopt
one of the strategies:
Undifferentiated strategy: this is a situation where by there is little or difference in the
marketing strategy i.e. the same product for the various market segments.(Kotler, et al.,
2008)
Concentrated strategy: This is a situation where by, a firm concentrate on one segment of
the market. A good example is that of Primark who forced on price sensitive consumers who
all they need is a cloth that can serve or the mean time and they dont border about the quality
of the cloth. (Kotler, et al., 2008)
In contrast various companies are following differentiated strategy. In this case the
organisation is choosing to target certain segments from the market. Customers are being
segmented according to certain variables such as demographic, geographic, behavioural and
psychographic. (Times, 2013)

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c) Discuss the differences between the three different targeting strategies that are
available for your new Manager to utilize in his Marketing Department. Gives
one example for each of the three targeting strategies.
See slides allege 3 tipuri si vb
Nu este relationat cu subiectul
Vrea multe referinte
Multi-segment targeting strategy represents a strategy that chooses two or more market
segments and develops a certain marketing mix for each product. This strategy offers many
benefits to the company including higher profits, greater sales volume, scale economies in
manufacturing and marketing. But the company may have certain potential cost such as
cannibalization, which may occurs when the new products sales cut into the sales of the
company existing products. This multi-segment targeting is a strategy that chooses more than
one market segments and develops a distinct marketing mix for each product.
Starbucks uses a combination of different strategies to separate their own market from
others in order to stand out from the rest and sell their products in a more effective way. They
mainly use demographic and psychographic segmentation. Starbucks sets their focus on
people who are married and highly educated, those with families, and between the ages of 18
and 40. Therefore, creating a concept catering to crowds that are both older and younger, and
their ideal group of customers. The majority of their crowd, however, appears to be women
between the ages of 18 and 43, 58% of them are without children, college graduates only
fulfill 33%, and just 54% of them are married. (Starbuck, PLC)

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d) Explain to your Marketing team what is the concept and utility of Product
Positioning. In your provide an examples of a proposal of a new position to any
product you select.
Perceptual map see slides
Exemplu BMW sport cars, mini, etc

Market positioning attempts to create an image or identity in the minds of customers

The place held by a product or service in the consumers mind, in realty on to the

competition.
Customers ultimately position based on their perceptions of product/service benefits,
attributes and value.

The final stage in STP (Segmenting-Targeting-Positioning) is represented by positioning.

Positioning is the organisations process in which the product of the company is viewed by the
customers. In this process the company tries to make its product unique for consumers in
order to always remember him. Starbucks has a strong position in the market because it
provides cheap food compared with other supermarkets.
In order for a company to have success it must have an efficient position of their products.
For that it can be applied two methods (automate or manual) which are helping the
organisation into growing their sales and developing new plans for their products by using a
life cycle software to help the product position and differentiate him or measuring directly
and manually the product position.

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Task 3
a)

1. New product development

Product development, also called new product management, is a series of steps that includes
the conceptualization, design, development and marketing of newly created or newly
rebranded goods or services.

The five elements of product development are:

Mai mult de vb pt fiecare

Identification of design criteria -- involves brainstorming possible new products. Once

an idea has been identified as a prospective product, a more formal product development
strategy can be applied.

Idea analysis -- involves a closer evaluation of the product concept. Market research
and concept studies are undertaken to determine if the idea is feasible or within a
relevant business context to the company or to the consumer.

Concept genesis -- involves turning an identified product opportunity into a tangible

concept.

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Prototyping -- involves creating a rapid prototype for a product concept that has been
determined to have business relevance and value. Prototyping in this front-end context
means a "quick-and-dirty" model is created, rather than the refined product model that
will be tested and marketed later on.

Product development -- involves ensuring the concept has passed muster and has been
determined to make business sense and have business value.

2. Customer convenience when creating plasce / distribution

See slides

Distribution (also known as the place variable in the marketing mix, or the 4 Ps) involves
getting the product from the manufacturer to the ultimate consumer. Distribution is often a
much underestimated factor in marketing. Many marketers fall for the trap that if you make a
better product, consumers will buy it. The problem is that retailers may not be willing to
devote shelf-space to new products. Retailers would often rather use that shelf-space for
existing products have that proven records of selling.

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Although many firms advertise that they save the consumer money by selling "direct" and
eliminating the middleman, this is a dubious claim in most instances. The truth is that
intermediaries, such as retailers and wholesalers, tend to add efficiency because they can do
specialized tasks better than the consumer or the manufacturer. Because wholesalers and
retailers exist, the consumer can buy one pen at a time in a store located conveniently rather
than having to order it from a distant factory. Thus, distributors add efficiency by:

Breaking bulkthe consumer can buy small quantities at a time. Small and modest scale
retailers (e.g., the USC bookstore) can buy modest quantities. This service reduces quantity
discrepancy in the supply-demand relationship between manufacturers and end customers.
Consolidation and Distribution. It would be highly inconvenient for customers to have to buy
each product at a different store. The consumers can buy at a neighborhood store, which in
turn can buy from a regional warehouse. It would also be very inconvenient for supermarkets
and most other retailers to have to receive deliveries individually from each manufacturer.
Wholesalers consolidate products from different manufacturers so that a large number of
different products can be received in one shipment. Some very large retail chains such as

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Wal-Mart may be able to handle distribution more effectively than outside wholesalers. WalMart often insists on sales directly to the chain from the manufacturer rather than sales
through wholesalers. This is the exception to the rule since Wal-Mart is large enough to be
able to handle distribution itself rather than going through retailers. It should be noted that
Wal-Mart has made very large investments to make this possible, and these capabilities have
taken a long time to develop. Wal-Mart had a very difficult time breaking into the grocery
businessespecially for perishable itemsand took several years to perfect this capability.
Carrying inventory. This service reduces the temporal discrepancy between
Manufacturers who may need to schedule production at relatively constant levels and
consumers who need certain products only at certain times (e.g., turkeys needed mostly at
Thanksgiving and Christmas)
Financing. Certain small manufacturers may have difficulty waiting for payment until goods
are sold to the end-customer. Wholesalers and retailers may negotiate lower prices from the
manufacturer in return for quick payment.

3. Price to reflect current market condition

Generally, pricing policy refers how a company sets the prices of its products and services
based on costs, value, demand, and competition. Pricing strategy, on the other hand, refers to
how a company uses pricing to achieve its strategic goals, such as offering lower prices to
increase sales volume or higher prices to decrease backlog. Despite some degree of
difference, pricing policy and strategy tend to overlap, and the different policies and
strategies are not necessarily mutually exclusive.
After establishing the bases for their prices, managers can begin developing pricing strategies
by determining company pricing goals, such as increasing short-term and long-term profits,
stabilizing prices, increasing cash flow, and warding off competition. Managers also must
take into account current market conditions when developing pricing strategies to ensure that

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the prices they choose fit market conditions. In addition, effective pricing strategy involves
considering customers, costs, competition, and different market segments.
Pricing strategy entails more than reacting to market conditions, such as reducing pricing
because competitors have reduced their prices. Instead, it encompasses more thorough
planning and consideration of customers, competitors, and company goals. Furthermore,
pricing strategies tend to vary depending on whether a company is a new entrant into a
market or an established firm. New entrants sometimes offer products at low cost to attract
market share, while incumbents' reactions vary. Incumbents that fear the new entrant will
challenge the incumbents' customer base may match prices or go even lower than the new
entrant to protect its market share. If incumbents do not view the new entrant as a serious
threat, incumbents may simply resort to increased advertising aimed at enhancing customer
loyalty, but have no change in price in efforts to keep the new entrant from stealing away
customers.

3. Types of promotion
Exeple see slides
Vrea 4 ps Price, promotion, etc de vb fiecare apoi promotion
Pana aici a corectat si restul saptamana viitoare.

Types of Promotion

Explanation

Advertising

Communication through mass media, the

firm will usually pay for this type of
communication.

Public Relations

Developing a positive relationship between

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the organisation and the media and the

public. Good public relationships involves
not only creating favourable publicity
through the media but also involves
minimising

the

impact

of

negative

situations.
Sales Promotion

Promotions designed to create a short term

increase in

sales. Examples

of sales

promotion include money off coupons,

discount codes and "flash sales".
Personal Selling

Sales

interaction

between

the

firm's

representative and a consumer on a one to

one basis.
Direct Mail (post and e-mail)

This involves sending marketing to a named

individual or organisation. Firms often buy
lists of names, e-mails and postal addresses
for this purpose. This can be highly effective
when the direct mail recipients are within
the firm's target market.

Internet Marketing

Placing adverts on internet pages through

programmes such as Google's AdWords.

Social Media

Firms place daily messages on social media

such as Facebook and Twitter to keep
customers interested in their organisation.
They may even run promotions, flash sales

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and discounts just for their social media

readers.
Sponsorship

An organisation or event is paid to use your

branding

and

logos.

Sponsorship

is

commonly used in sporting events; player's

clothing and stadiums will be covered in the
firm's branding and even the tournament
may be named after the firm. Although
effective

sponsorship

requires

large

audience you may get smaller firms

interested in local business sponsoring small
events in their area e.g. school fairs.

5. Extended marketing mix

1. People: The first P of the extended marketing mix is concerned with the people that are
working for the company. Its important to recruit and train the right people, because this is
who the customers will be dealing with. These include customer service representatives, sales
people, and anyone else a consumer may deal with that represents a company.
2. Physical Evidence/Layout: How a product is presented to the customer, including its
surroundings, is very important. Especially crucial to brick and mortar stores that sell a
product, they must be welcoming, easy to navigate, and if the product being sold is on the
pricy side, fancier than other places.

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3. Process: The final P, process deals with customer service, and a companys ability to offer a
service, handle complaints, and foresee any issues before they actually happen. These clearly
defined and efficient processes should garner customer confidence in the companys ability to
handle any issues.

b)

Marketing to Business Organisation (B2B) compared to Marketing to Customers (B2C)

The behaviour of business buyers is more complex. It refers to buying behaviour of the
business firms for the materials which are used in the production of final goods and services,
which is then sold to the final consumers.
The buying process of Business buyer behaviour is explained in the following diagram:

The differences in the context of marketing products and services to businesses rather than
the customers is an elementary aspect is to calculated the outcomes which are related to
benefits of the market products and services of the organisation. If we considered the aspect
of marketing of customers is related to attracting customers towards the products and services

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and also in increasing the number of customers with the help of the media as it covers huge
area of customers. The approach of negotiation among the buyers is being observed by the
organization which is little personal in context of marketing of business. As per the study of
Hutt and Speh, it has been conclude that dealers and market operators use small activities in
the context of the promotion of products and services provide by the organization which
needed less budget for the advertisement such as mails and journals. The promotion of the
product and services would be done with the planning and effective strategies for making
their own sales. The strategy of B2B marketing is different from the strategy for B2C
marketing as both are working on the basic fundamentals which are necessary for run the
organization in effective manner and to survive in the competitive market. The marketers of
the organization always depend on the condition of the market for achieving the targets for
satisfying the customers with providing the best quality products and services (Aaker & A.
Day, 2012).

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