Principles of Marketing Free Essays

American International University of Bangladesh Subject: Principles Of Marketing Section: K Name and ID of the members of the group1. Islam Aminul 2. Islam Touhidul 3. We will write a custom essay sample on Principles of Marketing or any similar topic only for you Order Now Rahman Md Mostafizor 4. Shahnawaz Khan 5. Khalid Ibrahim Submitted To, Samira Nuzhat Lecturer AIUB Last date of submission: 19 April 2010. 2 09-14147-2 09-14139-2 09-14084-2 09-14134-2 08-11892-2 Date: 19 April 2010 Samira Nuzhat Course Instructor Principles of Marketing Subject: Submission of report.Dear Madam, It gives ours immense pleasure to submit a report on â€Å"Pran†. This report is submitted as a partial fulfillment as a part of our course. The preparation of the report has given ours and insightful experience and in-depth knowledge on â€Å"pran company† in Bangladesh. We have given our best effort to make it a worthy one and each aspect of the problem is considered and studied as required. If any confusion arises or further explanation is needed, we shall be available to explain the matter to you as and when required despite when required despite having limitations.Your benign and authoritative advice will encourage us to conduct further flawless research in future. Yours sincerely, 1. Islam Aminul 2. Islam Touhidul 3. Rahman Md Mostafizor 4. Shahnawaz Khan 5. Khalid Ibrahim 09-14147-2 09-14139-2 09-14084-2 09-14134-2 08-11892-2 3 ACKNOWLEDGEMENT While preparing the report, We acknowledgement the encouragement and full guidance given by my course instructor . without his relentless support, it would have been impossible to conduct this study. We express my gratitude to our instructor for providing us detailed feedback and technical assistance on the report.Besides, a number of people and institutions are to be thanked. 4 TABLE OF CONTENT: SL NO 01 02 03 04 05 06 07 08 09 TABLE OF CONTENT CURRENT MERKETING POSITION PRODUCT REVIEW COMPETETIVE REVIEW DISTRIBUTION REVIEW SWOT ANALYSIS OBJECTIVES POSITION PRICING ACTION PLAN 5 Current Market Situation PRAN Group was born in 1980. Keeping in view the corporate mission of the Group they have over the years diversified their activities in several areas. PRAN’s biggest asset is their competent team of hands-on managers and dedicated employees.PRAN is Bangladesh’s largest grower and processor of fruits and vegetables. Their contract growers cultivate the choicest fruits and vegetables, which are processed in their modern and hygienic factories to highest quality international standards. Pran founded 28 years ago by many entrepreneurs with experience in the product market of Bangladesh. Different types of products increasingly popular today,forecasts suggest that annual sales of such products will grow at more than 49 percent for the next 3 years.Because our population is increasing day by day and products needed is also increasing. To gain market share in this environment, pran must carefully target specific segments with features that delivers benefits value by each customer group. 6 Product Review: Pran Puffed Rice (Muri) 500g Pran Spice Powder Coriander Pran Spice Powder Turmeric Pran Frooto Mango Juice 250ml Pran Hot Tomato Sauce 1L Pran Mixed Fruits Jam Pran Frooti Orange Juice 7 Pran Frooti Mango Juice Pran Chanachur 350g Pran White Vinegar *Pran up *Pran oil *Pran cola *Pran mango bar *Pran cocolate And so on†¦ Competitive Review: The Emergence of new product, marked by Pran group, manufactures and carriers has pressured industry participants to continu ally add features and cut prices. Within a very short time Pran would start exporting to papur New Guinea, East Timor, Brunei, Mauritius Reunion, and Algeria, among other countries. At present it is exporting to 73 countries all over the world and it has been conferred the most prestigious export trophy for the last six consecutive years for its export activities. Due to gradual development of the quantity of Pran products and because of better marketing and distribution initiatives, it is creating hype among other countries. Competition from specialized products for drinks such ac Acme, 7up, are major factors as well. Key competitons include: *Coca-cola: Coca cola is a famous brand. It is a high growth brand that is spread everywhere. Its taste is good. Its producing or making processing is very sharp. Everyone choose coca cola. *Segan mango juice: Students and younger persons choose this one. Its taste is good like pure mango juice. Its price is less. It is also very famous to all. Firm fresh milk: Collected directly from their own Milk Collection Centers around the country from selected cows. Firm fresh milk is Ultra High Temperature (UHT) processed to maintain long life and retain all the qualities and richness of cows fresh milk. 9 *Radhuni: Radhuni pure mustard oil is manufactured from the finest grade of indigenous mustard seeds and purified in fully automated plant. Mustard seeds is need to produce it. It is a famous brand. *MUM drinking water: Mum natural drinking water conforms to WHO and BSTI guidelines. It is rich in minerals, well balanced and ideal for people of all ages.It contains valuable minerals our body needs every day. This water is packed in pet bottle, which is approved by FDA USA for food packaging. Despite this strong competition, Pran can carve out a definite image and gain recognition among the targeted segments. There are also many products that build their attraction to people. Cocolate, hot tomato sauce, ketchup, jam, jelly, borhani, orange juice, chanachur, rice, vinegar, biscuits, etc are very known to all. 10 Distribution Review: In this section marketers list the most important channels provide an overview of each channel arrangement and mention any new developments or trends.Pran products will be distributed trough a network of retailers in the top high sellable markets. Among the most important channel partners being contracted are: Firstly if the product is made, than it is shown in the wave page. This is like another countries. Its price like all information will include. For in this countries sellable product means main packing product are divided into some group. Each group has five or six members and it has only one boss. The boss maintain all things. He or she then observe and declare that what place the products will go. It there is ack of product boss will searve. 11 SWOT Analysis of PRAN STRENGTH †¢ †¢ †¢ †¢ †¢ †¢ †¢ †¢ †¢ †¢ †¢ †¢ Large company Experience Greater sources of finance Greater control over sources of raw materials Risk-pooling Huge distribution network Weaknesses Disproportionate promotions strategy Control Lack of first-mover’s advantage In-house media planning and promotional activities Distance and transportation cost Perishable item OPPORTUNITY †¢ †¢ †¢ †¢ †¢ †¢ †¢ †¢ †¢ Huge demand Overseas expansion Natural resources Cheap labor Ethnocentrism Government incentives Value Added Tax (VAT) Duty Drawback facility Cash IncentivesTHREATS †¢ Price wars with competitors †¢ Stricter health and technical standards †¢ Reduced benefits †¢ Competition 12 OBJECTIVES: Marketing Objectives: †¢Maintain positive steady growth each month. †¢Increase market penetration every quarter. †¢Generate increased brand awareness quantified by reactions/feedback of customers at the trade shows. Financial Objectives: †¢Decrease customer acquisition costs by 1% a quarter. †¢Continue to decrease variable costs through efficiencies gained from experience. †¢Increase profit margins by 0. 5% per quarter. 13 Product positioning strategies:The product is a mango fruit juice, which we would like to position as a healthy alternative to carbonated beverages and other artificial sodas and drinks foods. The mango juice will add variety to the diet for the people of UAE. That is why we want to position Pran foods a fast moving consumer good in UAE. To huge Bangladeshi expatriates living in UAE, Pran will also serve a national symbol and be a source of pride. Though Pran’s quality is ISO 9001 certified it may have to increase its quality farther since it will have to compete against some of the world leaders in mango drink foods manufacturers.Pricing strategy: We think that since there is a number of competing brands in the mango juice market, Pran should follow the market pricing strategy. The penetrative pricing policy should be used in Pran’s case because BANGLADESH is country with low per capita income ($ 1000) money is a factor to the consumers in BANGLADESH. Also the fact that there are a lot of high profiled brands, which are already quite competitively priced, makes penetration pricing less appropriate 14 15 16 How to cite Principles of Marketing, Papers Principles of Marketing Free Essays string(81) " wants to accomplish in the larger environment \(Kotler Armstrong, 2008\)\." The subject of my final paper is Principles of Marketing. I will cover the following topics: Definition of Marketing; The Marketing Process; An Understanding of the Marketplace; Marketing Strategies; and Marketing Ethics and Social Responsibilities. Marketing defined is the process by which companies create value for customers and build upon that value by forging strong relationships with the customers (Clark, 2007). We will write a custom essay sample on Principles of Marketing or any similar topic only for you Order Now Marketing involves more than just selling and advertising, but also involves understanding customer needs and developing products and services to satisfy those needs (Clark, 2007). It consists of those efforts which effect transfers in the ownership of goods and care for their physical distribution (Clark, 2007). Marketing grew out of the division of labor manifested through large scale production and the localization of industry (Clark, 2007). The marketing process involves the following steps: understanding consumers; creating customer values; building strong customer relationships; creating marketing strategy; and capturing the value from customers (Kotler Armstrong, 2008). The first step in the marketing process understands the market place and customer needs (Kotler Armstrong, 2008). During this step the marketer needs to understand the customers’ needs, wants, and demands and then offer products, services, and experiences to satisfy those needs, wants and demands (Kotler Armstrong, 2008). A customers wants are shaped by cultural and individual personality (Kotler Armstrong, 2008). When backed by buying wants become demands (Kotler Armstrong, 2008). To fulfill customers wants and needs, marketers offer a combination of products, information, services, or experiences (Kotler Armstrong, 2008). A market is formed at each point where a specific commodity is concentrated (Clark, 2007). It occurs whenever people decide to satisfy needs and wants through exchange relationships (Kotler Armstrong, 2008). Once a marketer gets a grasp on customers’ needs and wants they must develop a marketing strategy. They do this by choosing target markets and building profitable relationships with customers (Kotler Armstrong, 2008). To design winning strategy managers must know what customers they will serve and how they can best serve those customers (Kotler Armstrong, 2008). To decide what customers to serve marketers divide customers into segments and select which segments they will go after (Kotler Armstrong, 2008). After deciding which segments they will go after marketers must establish a set of benefits or values it promises to deliver to consumers to satisfy their needs (Kotler Armstrong, 2008). For example the makers of Saab automobiles promise driving performance and excitement: Their slogan is â€Å"Born from Jets †¦ you can learn what it’s like to fly without ever leaving the ground (Kotler Armstrong, 2008). † To carry out their marketing strategy companies develop marketing concepts (Center For Business Administration, 2007). Marketing Concepts are philosophies that firms use to analyze the needs of their customers and then make decisions to satisfy those needs (Center For Business Administration, 2007) Production – This concept which flourished during the 1920s states that consumer will favor products that are available and highly affordable. The focus of management should be on improving production and distribution efficiency (Kotler Armstrong, 2008). The key questions a firm would ask before making a product were: can we produce it? Can we produce enough of it (Center For Business Administration, 2007)? Product – This concept holds that consumers will favor products that offer the most in quality, performance and innovative features. The marketing strategy focuses on making continuous product improvements (Blackwell, 2009). Selling – This concept flourished during the 1930s. Consumers do not purchase enough of a firm’s products unless it undertakes a large scale selling and promotions effort under this concept. The key questions ask by sales professionals were can we sell the product? Can sell enough of the product? Marketing – This concept states achieving organizational goals depends on knowing the need and wants of target markets and delivering the desired satisfactions better than competitors do (Blackwell, 2009). Customer focus and value are the paths to sales and profits under this concept (Kotle r Armstrong, 2008). Societal Marketing Concept – This concept questions whether the pure marketing concept overlooks possible conflicts between consumer short-run wants and consumer long-run welfare (Kotler Armstrong, 2008). Once a strategy has been decided upon marketer must prepare an integrated marketing plan and program deliver the intended value to customers. To do this marketer develops a set of marketing tools to implement their strategy. These tools are classified into broad groups called the four Ps of marketing: product, price, place, and promotion (Kotler Armstrong, 2008). Once the first three steps in the marketing process have been implemented, marketers begin building customer relationships. This process is by far the most important step in the marketing process. This concept involves managing detailed information about individual customers and carefully managing this information in order to maximize customer loyalty (Kotler Armstrong, 2008). The final step in the marketing process involves capturing value from customers. To do this marketer look toward current and future sales, market shares, and profits (Kotler Armstrong, 2008). When a company creates superior customer value it creates highly satisfied customers who stay loyal and buy more. One good example is Wal-Mart which stands by its motto of Low prices always. By standing by this philosophy they have been able to continuously make profits annually (Kotler Armstrong, 2008). Most of the processes discussed previously are old-age marketing processes. With the invention of the internet marketing has taken on a new meaning. This technology boom has created what is known as the digital age (Kotler Armstrong, 2008). The internet has put the marketing world at the tips of our fingers. In addition to being a valuable tool for customer to access the marketing world it has created exciting new ways to learn about and track customers and create product and services tailored to individual customer needs (Kotler Armstrong, 2008). The internet is such a phenomena the number of users worldwide to use it will exceed 1. 8 billion by 2010 (Kotler Armstrong, 2008). Once a company has developed its concepts ad began servicing consumers it must define what it stands for. To do this a company develops a mission statement. Simply put a mission statement is a statement of the organization’s purpose – what it wants to accomplish in the larger environment (Kotler Armstrong, 2008). You read "Principles of Marketing" in category "Papers" When a mission statement is clearly defined it serves as an invisible hand that guides workers in the organization (Kotler Armstrong, 2008). Some companies define their mission in product or technology (myopically) terms. A good mission statement should be market oriented and defined in terms of customer needs. Companies should avoid making their mission to narrow or broad when developing a mission statement (Kotler Armstrong, 2008). After developing a mission statement companies must plan their business portfolio. The business portfolio is simply the collection of products and businesses that make up the company (Kotler Armstrong, 2008). After planning their portfolio companies must then analyze them by evaluating these products and businesses. After analyzing the products and businesses a company should place strong resources into their more profitable businesses and phase down or drop the weaker ones (Kotler Armstrong, 2008). After analyzing and implementing the business portfolio companies must then develop strategies for growth and downsizing (Kotler Armstrong, 2008). The primary responsibility of marketing is achieving profitable growth for a company. To do this marketing departments must identify, evaluate, and select market opportunities and lay down strategies for capturing them (Kotler Armstrong, 2008). The product/market expansion grid is a good tool to use in identifying growth opportunities (Kotler Armstrong, 2008). The success of marketing primarily relies on their relationship with other departments in the company, suppliers, marketing intermediaries, customers, competitors, and various publics. These relationships combine to make up a company’s value delivery network (Kotler Armstrong, 2008). Earlier I discussed the boom in internet marketing. This boom has created a new set of social and ethical issues. Because there has been an explosion personal digital data available issues such as online privacy has caused great concern (Kotler Armstrong, 2008). In a market environment a business may be expected to act in way that it perceives to be its own best interest (Encyclopedia Of Business And Finance, 2009). As the economic system becomes more successful at providing wants and needs there will be a greater emphasis on companies adhering to ethical values rather than just simply providing products (Encyclopedia Of Business And Finance, 2009). Ethics are a collection of principles of right conduct that shape the decisions people or organizations make (Encyclopedia Of Business And Finance, 2009). Good ethical practices in marketing simply means deliberately applying standards of fairness, or moral rights and wrongs to marketing decision making, behavior, and practice in an organization (Encyclopedia Of Business And Finance, 2009). The Federal Trade Commission (FTC) and other government agencies are charged with enforcing the laws and creating policies to limit unfair marketing practices (Encyclopedia Of Business And Finance, 2009). To exercise their social responsibility and build positive images may companies are linking themselves to worthwhile causes (Kotler Armstrong, 2008). Many companies offer discounts if you purchase their products identified to help a worthy cause (Kotler Armstrong, 2008). For example If you order the City Harvest menu at Le Bernardin in New York City, they will donate $5 to City Harvest, which feeds the hungry (Kotler Armstrong, 2008). Cause related marketing has become a primary function of corporate giving (Kotler Armstrong, 2008). The effect marketing has had on the cultural environment has been great. This environment is made up of institutions and other forces that a affect a society’s basic values, perceptions, preferences and behaviors (Kotler Armstrong, 2008). For marketers to be successful they must cultural habits affect the market they are targeting. They want to predict cultural shifts in order to spot new opportunities or threats (Kotler Armstrong, 2008). In order to product superior customer value and satisfaction companies must have information at almost every turn (Kotler Armstrong, 2008). They do this by developing a marketing information system which consists of people, equipment, and procedure to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to marketing decision makers (Kotler Armstrong, 2008). The information system serves the company’s marketing and other managers primarily (Kotler Armstrong, 2008). A good marketing information system balances the information users would like to have against what they really need and what is feasible (Kotler Armstrong, 2008). The role of marketers has always been to interact frequently with the public. During this interaction marketers create a relationship with the public in which marketers are responsible for bringing in revenue to organization in the communities they service (Know This Marketing, 2009). Put in broader terms marketing offers many benefits to society. The benefits include developing products that satisfy need to include enhancing the quality of life of society; creating a competitive environment that helps in lower the price of goods; developing product distribution systems that offer access to products to a large number of customers and geographic regions; building a demand for items which require organizations to expand their labor force; and offering techniques that have the ability to convey messages that can change societal behavior in a positive. One such message is anti-smoking advertising (Know This Marketing, 2009). In summary marketing consists of the strategies and tactics used to identify, create, and maintain satisfying relationships with customers that result in value for both the customer and the marketer (Know This Marketing, 2009). The marketing process is broken down into five concepts; understanding the marketplace, designing customer driven strategy, constructing and integrated marketing program, building profitable customer relationship, and capturing customer value. Marketing has evolved throughout the years from old style marketing t digital age marketing that includes the phenomena known as the internet (Kotler Armstrong, 2008). In order to be successful companies must enlist the practices described in the marketing process and maintain strong ethical, social, and cultural practices (Kotler Armstrong, 2008). . References Blackwell, J. (2009). Principles Of Marketing. Retrieved from Principles Of Marketing: http://www. evancarmichael. com/Sales/1069/Principles-of-Marketing. html Center For Business Administration. (2007). The Marketing Concept. Retrieved from The Markting Concept: http://www. netmba. com/marketing/concept/ Clark, F. (2007). Principles Of Marketing. Retrieved from Principles Of Marketing: www. http://books. google. com/books? d=eI1BAAAAIAAJpg=PA1lpg=PA1dq=principles+of+marketingsource=blots=PGFusAjQROsig=qs9V_XB-bi_u1uuGZgg4nuIbUPMhl=enei=-TvASt7RKZbi8AaN7ZTBAQsa=Xoi=book_resultct=resultresnum=10#v=onepageq=f=false Encyclopedia Of Business And Finance. (2009). Ethics In Marketing. Retrieved from eNotes: http://www. enotes. com/business-finance-encyclopedia/ethics-marketing Know This Marketing. (2009). The Role Of Marketing. Retrieved from Know This Dot Com: http://www. knowthis. com/principles-of-marketing-tutorials/what-is-marketing/role-of-marketing/ Kotler, P. , Armstrong, G. (2008 ). Principles Of Marketing. Pearson Prentice Hall. How to cite Principles of Marketing, Papers Principles of Marketing Free Essays Recent History Brief Introduction about the organization General Electric Is an American conglomerate operating through the fields of energy, technology, Infrastructure, capital finance, and Industrial business. 1 Thomas Edison is a widely praised genius, both as an innovator and businessman, and it was his vision that laid the foundation for General Electric. 2 In 1876, he opened his first real workshop in Menlo Park, New Jersey where he would eventually create the electric light bulb. We will write a custom essay sample on Principles of Marketing or any similar topic only for you Order Now In 1890, Edison started the Edison General Electric Company to old his many businesses under one roof and after merging with the Houston- Thomas Company, his prime competitor, General Electric was born. 2 In the fields of technology and energy, General Electric will be releasing a product targeting solar energy and electric vehicles called The Catch. The Catch Is a solar powered car cover that absorbs the sun’s rays to charge electric cars without the need for an outside electrical source. It protects cars from weather damage and keeps them cool from the sun’s heat as well. The Catch Is a cover Like the ones available to cover any standard icicle, but will be covered with multiple small solar panels. The Catch will have a chord attached that plugs directly into cars instead of having them plugged into an electrical outlet. 1 . â€Å"About Us,† General Electric, accessed October 3, 2013, http://www. GE. Com/about- us/curing 2. † Thomas Edison At G. E. ,† General Electric, accessed October 3, 2012, http://www. GE. Com/about-us/history/Thomas-Edison Discuss what Is unique about the company and Its offerings General Electric Is known widely for their diversified and Inventive products. Its products Include gas and steam generators, solar energy devices, water treatment revise, lighting, healthcare services, home and business solutions, loans and leases. 3 G. E. Is a world renown company with the numbers to prove it. In 2012, General Electric was placed at number 8 on Fortune ass’s top earners list in 2012 with $146. 9 billion in revenue. 4 With top competitors such as Valier Energy and Caterpillar Inc. Trailing behind, General Electric continuously maintains a respectable reputation as an innovative company. As well as being a top ranked annual earner, G. E. Was named in Bloomberg Businessman’s list of world’s most innovative companies and Baron’s list of most respected companies. Because General Electric expands their horizons diving into a varied number of profitable industries and dominating the competition with their pioneering qualities and reputable business methods, It Is hard for alternative companies to keep up. With the Earthâ €™s diminishing sources of gas and fuel, G. E. Came up with a product that would accommodate the ever- changing needs of modern day society. Part 2 Marketing Plan Market-product Focus What are the objectives of your new product? The overall objective for our consumer product, The Catch, is very clear and straight to the point; as a company, we are trying to help all owners of electrical cars utilize a more convenient, cost effective, and environmentally friendly way of charging their vehicles. The Catch will allow the consumer to charge their car in practically any rear inside or outside that natural light can be obtained. With a single lifetime payment, The Catch will save consumers money without the need for continuous electric bills arising from existing charging methods. Lastly, by using the sun as a natural source of energy, we are thinking green and making a major thrust in conserving the environment. This new generation product will make life much easier for electric vehicle owners because of its substantial benefits. The Catch will be such an efficient product that it might Just convince other car companies to focus more on electric cars. It will also encourage potential car buyers to consider purchasing electric cars, which will encourage the use of our product. What is the specific customer niche that your product addresses? The niche our product will be initially addressing is a car owners who desire a more cost effective and greener alternative to standard electric car charging methods engine with a 4-kHz battery that gives it only 9 to 15 miles of electric arrange. This is an example of a need related to our customers that is not being satisfied within our market segment. Last year, roughly 17,000 plug-in cars were sold in the United States more than were sold in any previous yearly 1 . Sales this year will most likely double or triple that number based on society’s desire for technological advancement in all fields. President Obama set a goal for 1 million electric cars to be on the road by 201 512, which probably won’t happen; however, the President’s leadership will definitely encourage people to transition from gas-powered cars to electric-powered ones because of the government’s efforts in educating the country on the benefits of utilizing electric cars. This proves that our consumer product is entering a market hat is expanding rapidly, which increases our product’s chance of success. 10. Blocker, John. â€Å"Five Real-World Facts About Electric Cars,† accessed October 24, 2013, www. Log. RMI. Org/blob_Five_Real_World_Facts_Photoelectric_Cars 1 1 . Blocker, John. â€Å"Five Real-World Facts About Electric Cars,† accessed October 24, 2013, www. blob. RMI. Org/blob_Five_Real_World_Facts_Photoelectric_Cars 12. Blocker, John. â€Å"Five Real-World Facts About Electric Cars,† accessed October 24, 2013, www. blob. RMI. Org/blob_Five_Real_World_Fact s_Photoelectric_Cars What sets your product apart from the competition? The Catches main competitor is the V-Tent. The V-Tent is a non-portable solar powered parking device that charges electric cars. Our product design for The Catch is based around portability. The option to fold up The Catch and move it from point A to point B is going to the main point of difference from the V-Tent. Another drawback of the V-Tent is it can only operate under certain dimensions, limiting it to only small sedans. The Catch will be produced in a variety of sizes to fit the needs of all consumers driving electric cars. Envision LLC, our other competitor, has developed he Solar Tree as a way of saving unused space in parking lots. These structures are very expensive and not for personal use at all; in fact, they don’t even allow for an electric vehicle to charge while parked near theme 5. The Solar Tree is going to be used in large parking lots limiting them to Just business-to-business market segment. The individual consumer may not benefit from Envisions product. Our strategy will cover all markets including green, cause, business-to-business and individual household marketing. 13. N-Tent Solar Parking System,† accessed October 24, 2013, www. Designator. Mol design/v-tent/ 14. Solar Tree Array,† accessed on October 24, 2013, www. Envisioned. Com/solar- tree-array/ 15. Kerri, Hartley, Rudderless, â€Å"Market Segmentation, Targeting, and Positioning,† settable=sectional 16. Kerri, Hartley, Rudderless, â€Å"Market Segmentation, Targeting, and Positioning,† accessed on October 24, 2013, www. Connect. McGraw-hill. Com/connect/homeboy. Do? How are you communicating your points of difference to your customers? Points of difference is expressed as a synonym of product differentiation, meaning the product features that set the product apart from its competition. The Catch is a product with very limited competition. With the competitive advantage of not having many opponents in its market segment, it will not be hard to express the product features and benefits of The Catch that consumers cannot find anywhere else in the retail market. With the use of informational and transformational TV commercials, print advertisements, as well as the use of our social media networking, getting the word out about The Catches product differentiation will be simple and effective. Because The Catch is emerging in a new market, there is no such thing as bad timing with its release. With a strong desire from consumers and economic access to buyers, consumers will Jump at the opportunity to save money, live environmentally consciously and advance in the world of technology. Because of these things, new- product failure is no where in The Catches future. Part 3 Marketing Plan Marketing Program 8. What are the product line, unique product quality, and packaging of your product? With the creation of our solar powered car cover, titled The Catch, our company is going to base our product line on how successful The Catch is after its 17. Kerri, Hartley, Rudderless, â€Å"Market Segmentation, Targeting, and Positioning,† initial launch. What we at General Electric have in mind for a product line extension is a smaller version of The Catch made to charge laptops, cell phones, and other handheld devices using the same solar powered method. These new products are projected to succeed in the marketplace because they satisfy the same needs, target the same customer base, and are going to be distributed through the same outlet as The Catch. 18 All of our products will hold high standards in terms of quality. Part of what makes The Catch â€Å"cool† and appealing to customers is how it catches the eye with a high tech, sleek design. A higher price is worth it for a higher quality product like ours. For packaging, our product will be presented to the customer inside a box labeled with our company logo, picture of The Catch, as well as product features and basic instructions with pictures. Inside the box The Catch will be concealed in a plastic bag along with support information and a detailed instruction manual. The Catch will create high customer value by providing functional, perceptual, and communication benefits, as well as addressing environmental concerns. 19 What is As discussed briefly in this marketing plan, our new product The Catch fraternities itself very well when it comes to green marketing for a large demographic of electric car owners because there is no existing product like it. This makes evaluating the price point and price position relative to substitutes of our product fairly difficult. Although an abundance of in depth research must be done in 18. Kerri, Hartley, Rudderless, â€Å"Developing New Products and Services,† accessed on Novo. 19, 2013, www. Connect. McGraw-hill. Com/connect/homeboy. Do? settable ?section Tabs 19. Kerri, Hartley, Rudderless, â€Å"Managing Successful Products, Services, and Brands,† accessed on Novo. 19, 2013, www. Connect. McGraw-hill. Com/connect/homeboy. Do? settable=sectional order to reveal a more accurate estimation of the final price we can still create an educated estimation. The bulk of The Catch will consist of a large protective car cover as well as multiple folding solar panels. The mean value of most conventional car covers ranges from $25 to $35. We will be purchasing our solar panels from the industrial supply company MIRRORS. Their product the Powerful OFF-1800 foldable solar charger is an amazing candidate for our development of The Catch. 0 At $500 each they will cost around $2,000 dollars to produce on The Catch unit. This is before any wholesale negotiations have taken place. We here at G. E. Re looking to flood the emerging market by introducing a new product, in turn creating brand loyalty. This is why we are going to take a cost-oriented pricing approach when developing our product before developing a profit-oriented pricing method. 21 Using these methods we hope to establish a retail value of $2,000 – $2,500 which will satisfy both the needs of our company and customers. What promotional strategies are used for your rotund? The prom otional strategies that we will implement for The Catch will include advertising, personal selling, and direct marketing. How to cite Principles of Marketing, Papers Principles of Marketing Free Essays Based on the definition of Boone and Kurtz (2006), â€Å"Marketing channel is a system of marketing institutions that promotes the physical flow of goods and services along with the ownership title, from producers to consumers or business user and is also called distribution channel†. (Boone, 2006)     Stephen Diorio defined Distribution channel as â€Å"an organized system of marketing institutions and their interrelationships that promotes the physical flow of goods and services, along with title that confers ownership, from producer to consumer or business user.†Ã‚  Ã‚   Source: Harcourt College Publishers (Diorio) On the other hand, marketing intermediary was defined by Boone and Kurtz as â€Å"wholesaler or retailer that operates between producers and consumers or business users† and referred to as middle man. We will write a custom essay sample on Principles of Marketing or any similar topic only for you Order Now   Ã‚  Ã‚     It is the link that connects the producer to the ultimate users.  Ã‚     (Boone, 2006) Boone, Louise. E. a. Kurtz., David L. (2006). Contemporary Marketing Part 5: Distribution Decisions  Ã‚   Retrieved March 10, 2007, from http://72.14.253.104/search?q=cache:W-UUQ2BroroJ:campus.queens.edu/faculty/houchinc/ppt/BK12e_Ch13_basic.ppt+physical+flow+and+ownership+of+goods+and+services+from+producer+to+consumerhl=tlct=clnkcd=15gl=phclient=firefox-a Diorio, S. Building a Growth Engine With Technology.  Ã‚   Retrieved March 9, 2007, from http://www.watchit.com/PGDSCR.cfm?c_acronym=BGETprogramPageDisplay=Glossary    How to cite Principles of Marketing, Essay examples Principles of marketing Free Essays string(110) " the brand that was developed during the brand inception and is/was destined to be delivered to the consumer\." Introduction: This report is aimed to briefly yet comprehensively analyse the idea presented by Piercy (2009) that states that marketing is a set of management activities that define value, create value and deliver value for customers. The researcher in this report will explain the following three ideas; existence of brand value, creation of brand value and delivering brand value from the marketers’ perspective. Furthermore, this essay will explain how marketers manage this and will suggest steps that can aid in managing it correctly. We will write a custom essay sample on Principles of marketing or any similar topic only for you Order Now The conclusions that the researcher derives from this research report is stringently backed by theoretical evidence. The researcher, after scrutinizing a variety of journals and books, has written this report such that it makes a logically sound study. In addition to this, the report will establish a link with the practical field by quoting an example from the ‘real’ world. The researcher in this report gives example of BMW’s MINI and explains how their marketing department has managed affairs related to brand values and will shed light on the benefits that the company has sought from it. The essay systemically flows by briefly describing what marketing is in contemporary times and then moves ahead to elucidate the ideas of brand value, its creation and delivery. Ahead of this comes practical example guidance that is followed by a set of recommendations that can help other companies, BMW, marketers and marketing students. What is marketing? With increasing customer base, the right kind of marketing is becoming a critical tool for the success of any brand. Financial success often depends on marketing ability. Finance, operations, accounting, and other business functions will not really matter if there isn’t sufficient demand for the products (Kotler and Keller, 2008, p. 4). Today with fiercer competition, the scope of the meaning of right kind of marketing has also widened. Today marketing has become an integral part of our lives. From the smallest pins to the most luxurious of cars, everything is brought to notice using various kinds of marketing activities. So much so, individuals also market themselves on a regular basis e.g., a job interview (Holland and Ehrenreich, 2011, pp. 29-31). In such state of affairs it becomes necessary that you are identifiable. This recognition is mostly dependent on the value that a product is offering to its prospective buyer. In relation to this, Piercy (2009) gave the viewpoint that marketing pertains to a set of managerial activities that delineate value, generate value and distribute value for customers. Brand Value Brand value is a combination of concrete and abstract advantages that a brand offers to its consumers. It also includes the benefits that consumers think they can get by using this product (Wood, 2000, p. 14). Inculcation of this belief in consumers is a result of effective marketing techniques practiced by the company. Having an impactful set of brand values is important for healthy survival of the brand as it not only distinguishes it from others, but also give consumers a reason to purchase it (Burgh-Woodman, 2007, pp. 117-19). Ravald Gronroos (1996, p. 22) stated that in order for a brand to succeed it is necessary that superior value be delivered to the customers for a product they are investing in. They further added that this value deliverance would also help the brand build long term relationships with the customers. Brand value is inevitable for the success of a brand because today’s finance and quality cautious customer invest only in the products that they find promising or believe will deliver the right kind of value (Botha et al., p. 298, 2008). The idea of brand value carries with itself the concept that focuses on what makes a brand a brand. Elaborating on the personality of the brand and brand values aids in making a distinct mark of the brand. Despite such eminent importance, changes in the dynamics of the contemporary marketing environment has made value creation, its delivery and related managing processes to it, an arduous task (Christopher, 1996, p.98). Understanding the reasons re garding why brand values, its creation, delivery and marketing is so essential for a brand’s shelf life is a query that any marketing student may come across. Various academic scholars from all over the world have proposed different ways to explain creation and delivery of brand value. Value is often regarded as the central concept in the marketing discipline (Doyle, 2000, pp. 15-21). Five major aspects associated with brand value include; value offer (the entire experience that the company is offering to its customers), deliverance of value, segmentation of value deliverance, an intra-firm value-delivery system; and a value delivery chain (value creation and delivery study at the macro level including all the stakeholders and processes involved (Woodruff, 1997, p.65). Marketers and Brand Value Creation: MacInnis and Gustavo (2005, pp. 90-92) conducted a conceptual study and used motivational and appraisal theories in advertising for articulation purposes. In their study, they borrowed the idea of ‘motivational theory of emotions in advertising’ from Rossiter and Percy. They believed that numerous sectors’ economic viabilities can be affected by the intangible consumer sentiments. They perceived that whenever consumers have high hopes associated with a brand, the marketers acquire an edge (Bhat and Reddy, 1998, p.26). In such situations, marketers can favourably add to the brand attitudes by enhancing cues, which may result in further formation of brand value and assure the consumer that a desired outcome will be achieved (Matear et al., 2004, pp. 88-90). Merz et al. (2009, p.73) presented the idea that when it comes to brand value creation for the customer, brand identity is the element that marketers should cater first and foremost. Thus, the significance of ensuring that the brand’s original identity is not lost or overshadowed is magnified. A clear brand identity in itself helps to add value and to position the brand positively in many ways (Simms and Trott, 2007, p. 128). Another activity that has to be carefully managed is regarding the brand’s core spirit, i.e., the spirit of the brand that was developed during the brand inception and is/was destined to be delivered to the consumer. You read "Principles of marketing" in category "Essay examples" While marketing brand values, it is imperative that brand spirit is held closely. For example, brand spirit of D’Damas is to elegance and luxury. Therefore, while communicating its brand values and/or marketing the brand, it is important that the product looks elega nt and luxurious on screen. The ideas mentioned above makes the job of marketers more focused. Davis (2009, pp. 164-6) stated that the advantage that can be sought from this focus is a more diligently designed brand strategy, which goes beyond the available options and finally add up to the value that may result in a competitive proposition of value for the company. Marketers and Delivery of Brand Values: When a consumer decides to purchase a product, they have to go through a number of steps and sentiments to finally reach a conclusive decision (Wang and Tzeng, 2011, p. 81). Based on this proposition, Wang and Tzeng (2011) devised an approach to deliver brand value using the multiple criteria decision making (MCDM) model. Similar theoretical perspective was presented by Schau et al. (2009, pp. 154-56), their theory, however, was social practice theory, that investigated the numerous steps involved in the pre-purchase stage, which is greatly affected by exogenous factors. Delivering brand value might appear as the last step in the value cycle, but is indeed the most important and critical one. The significance of delivering brand value is vital as it is the actual evidence that a consumer is getting. Advertisements may promise a variety of benefits or it may claim many advantages, make a brand appear as the most desirable product in its category, but yet fails if the company is unable to deliver it. The only effective way to deliver way to customers is to ‘actually do it’ and to make brands an experience worth remembering. Many scholars believe that the best way to ensure that brand values are transmitted to consumers is to keep all the stakeholders on board. Aaker (1996, p. 111) in his research presented a ‘brand-as-product’ perspective to explain the importance of delivering brand value. The central focus of this perspective lies in establishing and delivering a brands value proposition. Value proposition usually encapsulates functional benefits essential for all brands and is integral to all customers. This is because if a brand does not generate value, it will be vulnerable to competitors. As a result of following this approach marketers’ focus on value rather than specific functional benefits and a set of measure is created that acts as indictors of brand’s success. The researcher also proposed two ideas via which brand value can be measured. This includes; Value that a brand delivers to its customer against the money Reasons that a brand shall be preferred over competitors One might presume that the job of marketers is limited to communicating the brand value to the target market; however, that is not the case. Delivering brand value might appear as a job that is to be done by producers’, but marketers have equal responsibility. It is for them to ensure that the claims that they have publicised are delivered and if that’s not the case, they should consider working on an alternative strategies. Example: To maintain the link of the study with the practical world the researcher chooses to select a brand and explain the ideas in light of the modus operandi opted by the manufacturers of that brand to establish a name and repute for their brand. The brand selected, in this case, is BMW’s MINI, a brand that revolutionised consumers’ perceptions regarding driving. Studying marketing, brand values and its management, leads one to note that the producers of MINI state that when a customer buys MINI, they buy a lot more than just a car. The reason why the producers of MINI are so confident in their product is because they know they are providing value to the customers by effectively handling their sentiments. MINI works on the principle of innovation, not merely in the context of introducing new design or technology, but in spurring a desire in consumers that was non-existent previously. MINI works as a separate identity to BMW, yet both design products adding value whilst encouraging consumers to realise how much they want this product and how that, beyond any doubt, it can cater to their desires and fulfil their expectations. The producers of MINI provide customers with reasons to be emotional committed to the brand (Schau et al., 2009, p. 4), a sense of brand recognition (Viet Ngo O’Cass, 2009, p. 78), perceived paybacks, good experience (Chernatony, et al., 2010, p. 375) and credibility and hope that they will not be disappointed in a long term perspective. The brand has strived hard to attain the status that it is enjoying today and for the retention of this status in the future, they have to provide their customers with a consistent a consistent quality standard whilst also increasing the level of their aspirations (Simms and Trott, 2007, pp. 46-49). Motivation and surprising the customers time to time is also necessary. Recommendations: In this brief study, the researcher has tried to give maximum evidence regarding the significance of ‘value’ to both brand and customers. During the course of study, the researcher has highlighted information that clearly demonstrated that many companies are facing intricacies in implementing their ideas, with some companies having developed bizarre myths regarding the idea of brand value or that they are practicing the wrong way. Hence, there are some suggestions that the researcher would like to present that can be a help in rightly practicing the idea. These suggestions include: Consumer research: Taking consumers response from time to time always help a brand to evolve. Companies should often engage themselves in consumer research to understand what consumers actually want and how their wants can be linked with a brand’s image and spirit. Active customer relationship management: The previous step can help a firm in understanding the value creation; whereas, this can help them in value delivery. Customer relationship management is an ideal value for a firm who wishes to deliver value to its customers. It happens as the CROs show warmth, consideration, attention to customers and answer their queries and problems. Total quality management: Developing a system of total quality management can create value not only for the brand, but for the entire firm. A philosophy within management sciences stresses on improving the product and service quality until it reaches the levels of perfection (Hawarna and Mohammed, 2011, p. 73). The basic premises of the concept lies in the fact continuous improvement is the best means towards customer satisfaction and company’s success in the long run (Anand et al., 2009, p. 448). Consequently, it makes a firm and almost all the brand under its banner a valuable preference. References: Aaker, D., 1996. Measuring Brand Equity Across Products and Markets. California Management Review. 38(3), pp. 102-120. Anand, G., Ward, P. and Tatikonda., M., 2010. Role of explicit and tacit knowledge in six sigma projects: An empirical examination of differential project success. Journal of Operations Management, 28 (4), pp. 303-315. Bhat, S. and Reddy, S.K., 1998. Symbolic and functional positioning of brands. Journal of Consumer Marketing. 15(1), pp. 32-43. Botha, J., Bothma, C. and Geldenhuys, P., 2008. Managing E-commerce in Business. Juta and Company Ltd. Burgh-Woodman, H., 2007. We do not live to buy: Why subcultures are different from brand communities and the meaning for marketing discourse. International Journal of Sociology and Social Policy. 27(5/6), pp.193 – 207. Christopher, M., 1996. From brand values to customer value. Journal of Marketing Practices: Applied Marketing Science. 2(1), pp. 55-56 Davis, J., 2009. Competitive Success, How Branding Adds Value. John Wiley and Sons. Doyle, P., 2000. Value-based marketing. Journal of Strategic Marketing. 8(4), pp. 299-311. Hawarna, S. and Mohammed, H., 2011. Quality perception among university students and influence on Islamic culture on it: a case study. International journal of Arab Culture, Management and Sustainable Development, 2(1), pp. 72-82 Holland, R. and Ehrenreich, B., 2011. Cracking the New Job Market: The 7 Rules for Getting Hired in Any Economy. U.S: AMACOM Div American Management Association. Kotler, P. and Keller. K., 2008. Marketing Management- A South Asian Perspective. New York: Pearson Education. MacInnis, D. and Gustavo, D., 2005. The Concept of Hope and Its Relevance to Product Evaluation and Choice. Journal of Marketing. 69(1), pp. 1-8. Matear, S., Gray, B. and Garrett, T., 2004. Market orientation, brand investment, new service development, market position and performance for service organisations†, International Journal of Service Industry Management. 15(3), pp. 284-301. Merz, M., YiHe and Vargo, S., 2009. The evolving brand logic: a service-dominant logic perspective. Journal of the Academy of Marketing Science. 37(3), p. 56. Ravald, A. and Gronroos, C., 1996. The value concept and relationship marketing. European Journal of Marketing. 30(2), p. 22. Schau, H., Muniz Jr, A. and Arnould, E. (2009). How Brand Community Practices Create Value. Journal of Marketing. 73(5), pp. 30-51. Simms, C. and Trott, P., 2007. An analysis of the repositioning of the â€Å"BMW Mini† brand. Journal of Product Brand Management. 16(5), pp. 299-303. VeitNgo, L. and O’Cass, A., 2009. Creating value offerings via operant resource-based capabilities. Industrial Marketing Management. 38(1), pp. 45-50. Wang, Y. and Tzeng, G., 2009. Brand marketing for creating brand value based on a MCDM model combining DEMATEL with ANP and VIKOR methods. Retrieved online at on May 28, 2012. Wood, L. (2000). Brands and brand equity: definition and management. Management Decision, 38(9), pp.662 – 669. How to cite Principles of marketing, Essay examples