Task consumer decision making process of a product

Task 1

Discuss the role of
marketing management functions of manufacturing company

We Will Write a Custom Essay Specifically
For You For Only $13.90/page!


order now

Based on your
knowledge about marketing theory and concept.

 

Marketing

 

“Marketing is a
human activity to satisfy needs and wants, through an exchange process. A
demand is a want for which the consumer is prepared to pay a price.

A want is anything
or service the consumer desires or seeks” (Kotler, Philip and Armstrong,
Gary, 2007).

 

Role o f marketing

 

As we’ve seen the key
objective of an organization’s marketing efforts is to develop satisfying
relationships with customers that benefit both the customer and the company.
They are the marketing to work for the main part in our society. Marketing
is the essential business function that is needed in almost all industries where
the company works for a profit or a nonprofit. Marketing is accountable for
most duties that bear proceeds to an organization, for the profit organization.

For the nonprofit organization,
marketing is accountable for enticing customers wants and needed to provide the
nonprofit’s mission, such as fund-raising or aiding a case. These organizations
can vital indeed of marketing effort.

Marketing is also the
international business area that interacts most frequently with the public and,
consequently, what the public knows about an organization is determined by
their interactions with marketers. For example, customers may believe a company
is dynamic and creative based on its advertising message.

 

Marketing includes
some activities that support a business to sell services or products. But
marketing is not for selling. Marketing is like a management process which
provides customer need and want. Marketing always try to know the customer
behavior and what they need.

Task 2

Do you accept that customer is
the King today? Based on this proposal, discuss the value of customers and
stages in consumer decision making process of a product with suitable example.

Consumer

 

“Any individual who purchases
goods and services from the market for his/her end-use is called a consumer” (Kotler, Philip and Armstrong,
Gary, 2007).

Customer is the king

 

Nowadays, customer is the
essential part in business area because of the competitive business environment
all over the global markets. Customer gratification is a good way to close the
customers that can be specified as the level of satisfaction by the customers
after buying or consuming a especially product or service from a business. By
knowing customer satisfaction, helps to develop the business models and
business strategies to raise customer satisfaction and to supply the quality
products or services to the customer. “For example, Hill et al. (2007) have
described that customer satisfaction is considering the most significant
prospect inside a business to focus profits of the business through customer
satisfaction, staff satisfaction by virtue of customer satisfaction, returns to
shareholder by customer satisfaction, impacts of customer satisfaction on
macro-environment and so on”.

Customer’s satisfaction is the key
point in a business and become a business concern, especially for fast food
business. It has been taken into consideration by highly  significant index for the measuring of
organizational performance of a business. For example, Michman and Mazze (1998)
have mentioned that customer satisfaction is considering as vital issue for a
business, like fast food business because product quality and diversification
of business is essential to influence customers’ buying patterns and thus to
satisfy them. As an example, they have mentioned that McDonald’s has
distinguished itself with superior customer service and product consistency
while offering low prices and high value to customers. However, Burger King has
not developed a clear strategy, like McDonald’s; nevertheless, Burger King
appears to have followed a strategy of being second best. So, we can say that
both companies have been focusing on customer services with quality products in
relation to increase customer satisfaction.

Khan (2012) has noted that the
success and failure of fast food industry depends on several key aspects, price
of the products, quality of products, services to the customers, promotions,
customer expectations, brand, physical distribution and location of the store,
and taste of the product and other related things. This research project
is based on the comparative analysis of customer satisfaction at McDonald’s and
Burger King, leading fast-food chains in the UK as well as in the international
markets. McDonald’s is one of the world’s leading and largest fast-food
businesses throughout the international markets. Burger King also leads
fast-food business throughout the international markets. Thus,customer
satisfaction is becoming an important issue and concern for an organization,
particularly for fast-food businesses.

The researcher is
self-motivated to carry out such type of research project. The selection of
research topic is based on the importance of academic, organizational and
personal point of views. In fast food industry, customer satisfaction becomes
the key issue to success for the business through customer loyalty.

So, the comparative study of
customer satisfaction at McDonald’s and Burger King has academic importance.
The researcher will develop valid recommendations to the case studied
organization in accordance with identified issues and concerns from review of
literatures and primary research. So, this research project has significance
from organizational perspective. The research project is designated in such a
way that will improve knowledge and understanding of the business management
through analysing customer satisfaction (Customer/www.essayandreportwriting.com).

 

 

Task 3

Nowadays,
successful company segments their products or services to get more market
share. If you are marketing manager, what do you segment your products or
service to enter the target market and effective positions for them with your
suitable examples.

Market Segmentation

 

“High-growth
companies succeed by identifying and the needs of certain kinds of customer,
not all customers, for special kinds of 
product and service,  not all products
or all services. Business academics call this market segmentation.
Entrepreneurs call it common sense” (Kotler, Philip; Armstrong, Gary,
2007).

Market segmentation
supports the marketers to prepare a suitable marketing strategy. The most
important aim of marketing is to understand and satisfy the customers and their
wants and needs better than the competitors. As no two individuals are same,
they have different requirements and should be treated differently. 

Targeting

 

Classifying different
market segments is the first step in target marketing. Thus, market
segmentation is the process of dividing the market into a number of groups that
are mutually exclusive, while individuals exhibiting similar traits fall under
one group. With the help of segmentation firms can anticipate the requirements
of its potential customers to a greater extent, by determining the group of
people best suited for a particular product or service offering. Markets can be
segmented on the basis of following characteristics.

Geographic segmentation is based on variables such as:

Region: This kind of segmentation involves division of
customer base by continent, country or state etc.
Customer groups can also be formed on the basis of size
of population of a particular region.
Population density: urban, suburban, or rural
Climate

 

Demographic Segmentation

Demographic Segmentation
includes: Age, Gender, Family lifecycle, Generation, Income, Occupation, and
Education

 

Psychographic segmentation is based on customer’s lifestyle, activities, interests, and
opinions etc.

Behavioral segmentation is based on actual consumer buying behavior for particular
products. Customers are segmented on the basis of their attitude towards brand
loyalty, or user status indicating the first time buyers, potential buyers,
benefits sought etc.

Since segmentation
segregates the market into a number of heterogeneous groups, it helps the
organisations to target specific groups by developing advertising programs for
each segment or develop new products to attract one or more segments.
Growingly, with the increase in competition target marketing is a more method
as opposed to the mass marketing as it helps the organisations to reach greater
customer needs.

Market segmentation can be
implemented in three ways:

Differentiation

In this process the
central focus is each segment’s individual needs wherein based on different
market segments companies market and develop products or services.

Concentration

This method involves
targeting a specific segment or niche which the main competitors of the
organization are not able to reach.

Atomization

 This method involves dividing the market into very
small segments, as small as one person segment in a few cases. This method is
mainly adopted by companies offering expensive and highly customized products
or services.

 

 
 

Task 4

 

Suppose that you are marketing manager of a manufacturing
company, your company want to produce a new product or service. So, company
confided you to make a marketing plan about a new product or service. And then,
discuss the marketing plan for your company with your suitable product or
service example.

Marketing Plan

 

“A marketing plan is a plan that outlines your full marketing
strategy for the coming year. It will include to whom you are marketing, how
you will market to them, and the strategies you will use to connect with
customers and attract sales. The goal of the marketing plan is to outline how
you will present your products and services to your target market” (Kotler, Philip; Armstrong, Gary,
2007).

 

Marketing plan is the most important part of a business plan. It
describes a detailed, researched and written report that a business uses in order
to outline the activity which might be taken to customers and taken to persuade
them to buy the product. It communicates to the customers on the value of goods
and services. Marketing personnel evaluate the results marketing decisions made
in previous years and the market in which a business operates in order to make
the right decisions. They also set goals that provide direction on how
marketing should be carried out. Coca-Cola Company success has been attributed
by a well structure of marketing plan. Marketing plan prepared by the
management determines how well it will exist in the market (Marketing
Plan/www.slideshare.net).

 

The aim of the
marketing plan is to control the entire business to develop

SWOT is a technique
specifically designed to help with the identification of suitable business
strategies for an organization to follow. It involves specifying and relating
together organizational strengths and weaknesses and environmental
opportunities and threats. In practice this is often an activity that is not
carried out well. It is all too easy, having identified all the important
points, not to know what to do with the data generated (Marketing
Plan/www.ukessays.com, 2015).

SWOT ANALYSIS

1.     Star
Software’s product differentiation strategy is the result of a strong market-
ing orientation, commitment to high quality, and customization of products and
support services.

2.     There is
little turnover among employees who are well compensated and liked by
customers. The relatively small size of the staff promotes camaraderie with
coworkers and clients, and fosters communication and quick response to clients’
needs.

3.     A long-term
relationship with the primary supplier has resulted in shared knowledge of the
product’s requirements, adherence to quality standards, and a common vision
throughout the development and production process.

4.     The high
percentage of reorder business suggests a satisfied customer base, as well as
positive word-of-mouth communication, which generates some 30 per- cent of new
business each year.

Strengths

1.      Star Software’s product differentiation
strategy is the result of a strong market- ing orientation, commitment to high
quality, and customization of products and support services.

There
is little turnover among employees who are well compensated and liked by
customers. The relatively small size of the staff promotes camaraderie
with coworkers and clients, and fosters communication and quick response
to clients’ needs.
A
long-term relationship with the primary supplier has resulted in shared
knowledge of the product’s requirements, adherence to quality standards,
and a common vision throughout the development and production process.
The
high percentage of reorder business suggests a satisfied customer base, as
well as positive word-of-mouth communication, which generates some 30 per-
cent of new business each year (Marketing Plan/college.cengage.com).

 

Weakeness

The
highly centralized management hierarchy (the McLemores) and lack of
managerial backup may impede creativity and growth. Too few people hold
too much knowledge.
Despite
the successful, long-term relationship with the supplier, single-sourcing
could make Star Software vulnerable in the event of a natural disaster,
strike, or dissolution of the current supplier. Contingency plans for
suppliers should be considered.
The
seasonal nature of the product line creates bottlenecks in productivity
and cash flow, places excessive stress on personnel, and strains the
facilities.
Both
the product line and the client base lack diversification. Dependence on
current reorder rates could breed complacency, invite competition, or
create a false sense of customer satisfaction. The development of a
product that would make the software calendar obsolete would probably put
Star out of business.

Opportunities

1. Advertising expenditures in the United
States exceed $132 billion annually. More than $25 billion of this is spent on
direct-mail advertising, and another $20 billion is spent on specialty
advertising. The potential for Star Software’s growth is significant in this
market.

2. Technological advances have not only freed
up time for Americans and brought greater efficiency but also have increased
the amount of stress in their fast- paced lives. Personal computers have become
commonplace, and personal information managers have gained popularity.

3. As U.S. companies look for ways to develop
customer relationships rather than just close sales, reminders of this relationship
could come in the form of acceptable premiums or gifts that are useful to the
customer.

3. Computer-based calendars are easily
distributed nationally and globally. The globalization of business creates an
opportunity to establish new client relation- ships in foreign markets.

Threats

1. Reengineering, right-sizing, and
outsourcing trends in management may alter traditional channel relationships
with brokers, dealers, and distributors or elimi- nate them altogether.

2. Calendars are basically a generic product.
The technology, knowledge, and equipment required to produce such an item, even
a computer-based one, are minimal. The possible entry of new competitors is a
significant threat.

3. Theft of trade secrets and software piracy
through unauthorized copying are difficult to control.

4. Specialty advertising through promotional
items relies on gadgetry and ideas that are new and different. As a result,
product life cycles may be quite short.

5. Single-sourcing can be detrimental or even
fatal to a company if the buyer- supplier relationship is damaged or if the
supplying company has financial diff iculty.

6. Competition from traditional paper
calendars and other promotional items is strong.

 

 

 

 

 

 

 

 

Task 5

 

In practice, the
consumer orientation should permeate every part of a business if it is to
succeed. We have now seen what the four elements in the marketing mix are.
However, the marketing mix is only one way of 
looking at marketing. Discuss them briefly.

 

Marketing Mix

 

Marketing mix are basically some tools, which are used to
enhance the abilities and strengths of a marketing strategy. The marketing mix
helps in supporting the marketing procedure and withstands it. The process of
marketing becomes feasible and smooth to operate and also curbs the risk of
loss. The main

Marketing Mix

 

“The marketing mix is the set of controllable, tactical
marketing tools that a company uses to produce a desire response from its
target market. It consists of everything that a company can do to influence
demand for its product. It is also a tool to help marketing planning and
execution” (Kotler, Philip; Armstrong, Gary,
2007).

 

Marketing mix tools are:

1   Price

2   Product

3   Place

4   Promotions

Neil H Borden was the man who coined these marketing mix
techniques back in 1964. These tools have been applied everywhere in the
marketing process since then.

Figure 1 Product,Place,Price,Promotion

 

 

 

Marketing Mix tools can be explained with this:

Price is an important factor of the marketing mix and refers to
the amount charged for selling a product. Price helps in determining the source
of income for a business. Price of the product should be kept carefully, after
understanding fully about the market nature and consumer nature. The price must
cover the expenses incurred in making them and also garner much profit for the
business. The profit margin should also be kept carefully.

Some important decisions to be made for Pricing:

•    Volume Discounts

•    Suggested retail price

•    Cash and early payment discounts

•    Pricing strategy

 

 

Product

 

A business deals its operation with its product or a service.
Products are the main thing of a business for which it strives and from which
it gains. Selling of that product is a necessary job. Proper planning and
strategies should be laid out selling it. Target audiences and territories
should be considered well. The expense of making that product and quality
should also be considered well before. Product comprises of three main levels:

•    Core product

•    Actual product

•    Augmented product

Some important decisions to be made for Product:

•    Styling

•    Brand name

•    Functionality

•    Safety

•    Quality

•    Packaging.

 

Place

 

The place of marketing mix is the place where the production and
distribution of the product is done. It involves storing and selling it both.
The place is an important factor and should be chosen wisely. The raw materials
production should be near the place, cutting extra transportation conveniences.
Storages of products should be near the market to keep the retailing good. Thus, place is an important factor.

Some decisions that should be taken for place are:

•    Distribution channels

•    Market coverage

•    Specific channel members

•    Warehousing

•    Order processing

•    Transportation

 

Promotion

 

The promotion factor of the marketing mix refers to the
increasing of various techniques to garner the growth of sales of the product.
It aims to increase that need of the product in the market. The business,
producing high quantity high volumes of products needs a good promotion for
selling those products in good numbers and keep the profit level up. Best promotion
techniques include, advertising, publicity, sales promotion and also personal
selling.

Some of the decisions to be taken for promotion are:

•    Advertising

•    Promotional strategies

•    Personal selling

•    Sales promotion

These four marketing mixes are the ones mostly used over. These
are good and reliable factors to be kept in mind while making appropriate
decision sin marketing. Apart from these four, there are three more tools of
marketing mix, they are

•    Physical Evidence

•    Process

•    People

As we have seen above, marketing mix is vital  to stand with the success of the business (Marketing
Mix/www.myassignmenthelp.net).

REFERENCE

Customer/www.essayandreportwriting.com. (n.d.). Retrieved 12 28, 2017, from www.essayandreportwriting.com:
http://essayandreportwriting.com/academics/dissertation-writing-samples/customer-satisfaction-at-mcdonalds-and-burger-king-uk/
Kotler, Philip and Armstrong, Gary. (2007). Principle of Marketing (12th
ed.). Prentice Hall.
Kotler, Philip and Armstrong, Gary. (2007). Principle of Marketing
(12nd ed.). Prentice Hall.
Kotler, Philip; Armstrong, Gary. (2007). Principle of Marketing
(12th ed.). Prentice Hall.
Kotler, Philip; Armstrong, Gary. (2007). Principle of Marketing
(12th ed.). Prentice Hall.
Kotler, Philip; Armstrong, Gary. (2007). Principle of Marketing
(12nd ed.). Prentice Hall.
Kotler, Philip; Armstrong, Gary. (2007). Principles of Marketing.
Prentice Hall.
Marketing Mix/www.myassignmenthelp.net. (n.d.). Retrieved Jan
10, 2018, from www.myassignmenthelp.net:
http://www.myassignmenthelp.net/marketing-mix-assignment-help
Marketing Plan/college.cengage.com. (n.d.). Retrieved Jan
11, 2018, from college.cengage.com:
https://college.cengage.com/business/pride/foundations/2e/resources/pf_found_sample_mkt_plan.pdf
Marketing Plan/www.slideshare.net. (n.d.). Retrieved Dec
31, 2017, from www.slideshare.net:

Marketing Plan/www.ukessays.com. (2015, March 23).
Retrieved Jan 10, 2018, from www.ukessays.com:
https://www.ukessays.com/essays/marketing/swot-analysis-carvel-corporation-marketing-essay.php
 

 

 

 

x

Hi!
I'm Morris!

Would you like to get a custom essay? How about receiving a customized one?

Check it out