Marketing Management paper Essay

Questions1. Explain how Marketing affects the outcome of the financial equating Sales-Expense=Profit. What risk the company might be facing in this par with regards to commercialiseing? Expound on the importance of marting in accommodateing business sector maturation. (5 points.)In the equation, Sales-Expense=Profit, activities forefathere in Marketing potentiometer be verbalize or considered as grocerying expenses that includes advertising costs, promotions, PR events and Marketing question costs (e.g. FGD, etc.). Through the income contestation, we pot wank the Profit or revenue and costs or expenses. These may include the costs of grocerying the crossroad or services with other costs that is deducted from the centre of gross sales or total sales.The idea is to change magnitude the revenue while costs argon bring forthred through tradeing activities. However, in order to achieve this, merchandiseing activities mustiness be done effectively and the costs or expenses should be managed powerful in order to create good results. Marketing activities that atomic number 18 non managed properly may incur additional costs to the company and touch on to increase. This is particularly applicable to companies with different intersection portfolios and margins, wherein they send word incur losses once the profitability of a reaping decreases.Read more(prenominal)What is New Public Manage handst?2. Why do companies resort to market seg handstation? Explain why or how segwork forcetation can be an effective market entry/penetration dodge. Give an example non discussed in the class. (10 points)Better matching of customer involveCustomer requirements differ. Creating sepa stray offers for each seg ment makes sense and earmarks customers with a bring out solution. compound profits for businessCustomers have different disposable income. They atomic number 18, therefore, different inhow sensitive they atomic number 18 to price. By segm enting markets, businesses can raise average prices and by and by enhance profitsBetter opportunities for growthMarket segmentation can build sales. For example, customers can be encouraged to trade-up after(prenominal) being informd to a particular result with an introductory, lower-priced convergenceRetain more customersCustomer luck interchange, for example they grow older, form families, change jobs or get promoted, change their stealing patterns. By marketing products that appeal to customers at different forms of their flavor (life-cycle), a business can retain customers who might otherwise take turns to competing products and brandsTarget marketing communicationsBusinesses need to deliver their marketing contentedness to a relevant customer audience. If the invest market is too broad, there is a knockout risk that (1) the key customers atomic number 18 missed and (2) the cost of communicating to customers conks too high / unprofitable. By segmenting markets, t he target customer can be reached more a lot and at lower cost micturate make out of the market segmentUnless a business has a substantial or leading sh be of a market, it is un similarly to be maximizing its profitability. Minor brands suffer from lack of scale economies in production and marketing, pressures from distri exceptors and restrict space on the shelves. Through careful segmentation and targeting, businesses can often achieve competitive production and marketing costs and puzzle the like choice of customers and distributors. In other words, segmentation offers the opportunity for smaller firms to cope with bigger ones.3. What can be a good segment to target for a facial care product? Why? What can be a compelling fillr insight and your corresponding value proposition? elaborate your brand DNA plot and prepare a positioning statement and a tagline. Outline your IMC campaign. (15 points)Segment Facial products made especially for menCustomer insight There are m any facial products on hand(predicate) in the market but foc employ only on pistillate needs, including anti-ageing products. Facial care products for men are very limited as not all facial care companies delve into the market. However, due to the ripening number of men getting more witting of their appearance, they look for products that are made especially for us. This is also because Mens skin differs from Ladies thereof their skin needs differ. Value proposition Complete mens facial care regime line products range from facial soaps, scrubs, non-alcohol ground cleansers, and facial lotions. Brand DNACategory Facial care for menCharacter Clear and Clean for the real manCredibility Should be tested and approved by Dermatologists and Dermatological Institutes Benefit Complete men facial regimen Cleans and Clears the face, while moisturizing he skin. Difference Made especially for men and mens skin. spatial relation statement The harvest-feast For men of different ages a nd skin types which provides clear and moisturized skin. Taglin Complete facial regimen for the rude(a) manIMC campaign TV Advertisements, newspaper publishers, Mens Magazines, Bus posters.Storyboard A construction worker, after a long day building a wall is then(prenominal) attendn by his co-workers use a facial subspecies for women. Co-workers laugh when they see the man has a white face after washing. Co-worker gives the man the facial care product for men.4. Assuming that you are hired as a marketing manager of a progeny company. Your primary task is to develop a new magazine that has a strongmarket potential.a. What type of magazine give it be?b. Who will be your target market?c. Estimate or extrapolate the market value potential. What should be the subject mix (topics) of your magazine to attract and sustain readers?d. How will you promote this new magazine?e. What can be a good name for your new magazine?f. Develop DNA diagram and the positioning statement including the tagline.g. What are your pricing and distribution strategies? (20 points)5. Hair Salons are almost in every corner, be it commercial or residential area. Davids Salon is one of the successful salon chains in the country that is targeting the mid-end of the market. A new phenomenon however took shape in novel years in the form of F Salon Chain and Reyes Cutters that are charging very low fee for a hairsbreadthcut (45.00-50.00 pesos only). For a while the deuce salons have mushroomed until they suddenly lost esteem. Assuming, you have the capital to establish a hair salon chain, how will you build your brand? discourse your 7-P strategies. drive sure you provide a brand name and a tagline for your hair salon chain. (20 points.)Brand name Hairline, CarelineTagline hairline, gone in 60 legal proceedingPeople Adults with receding hairlines. Only a handful of salons or barbershops rightfully focus on people with hairloss or receding hairlines. Product A line of hair salons espe cially for individuals losing hair services would involve sell treatments, scalp massages and mainly haircuts that hide hair-loss and receding hairlines. Price Haircut Php 150 abrase 200 Scalp treatments 200-300 (depending on the treatment e.g. spa or menthol) localization SM Malls, Robinsons malls (non-high end malls)Process Customers come in and is assisted by the front desk for introduction of services. Customer chooses the service. An expert to that service is provided to the customer. Promotion Newspaper ads, TV commercials, Flyering activities and on-line advertisements and postings on websites likeSULIT.COM, and/or Coupon websites like CASHCASHPINOY.6. Illustrate the Marketing process that was introduced to the class. talk over each of the steps in this process including their respective decision points/criteria. (20 points)Discovering / Identifying the ValueSegmenting Identify all feasible segmentsProfiling Determine the most vulnerable and profitable segment Targeti ng favour your target marketConsumer Insighting Gain consumer insights through research, focus group discussions and/or surveys. Value Offering Determine your value which is relevant and distinct. This becomes your unique exchange proposition.Creating the ValueProduct Concept Determine product type, line, depth.Product training Determine the features and attributes of your products and how to improve it so that your value proposition will be realized. Branding Determine Category, Character, Credibility, Benefit and Difference and an appropriate brand name. Positioning Formulate what you exigency your target market to perceive about your product and how you want them to understand and accept your value proposition. Create a tagline. price Determine if higher, parity or lower based on mark-up, targeting or value pricing.Making the Value AccessibleDistribution Determine how you want to go to market (i.e. channels of distribution)PlacementChannel Marketingcommunicating the ValueIMC Determine how you want to promote your product.EMC7. Discuss Ansoffs developing Matrix. Give examples. (10 points)The Ansoff Matrix, designed by Igor Ansoff, classifies and explains different growth strategies for a company. This ground substance is apply by companies which have a growth target or a strategy of specialization. This tool, crossing products and markets of a company, facilitates decision making. The Ansoff matrix offers iv strategies to achieve the objectives.Market perceptivenessTrying to make a great dower of an existing market with an existing product. This could involve product re-launch or increasing brand ken. For example, Ipods can be used for file repositing as well, this gained them market share in the storage devices market.Product ontogenesisDevelop new products to target the companys existing market segments. For example, Coca Cola introduced Coke Zero and Coke Cherry.Market disciplineFinding or creating new markets by targeting new parts of the m arket or by expansion into different markets. For example, San Miguel introduced San Mig Zero targeting the health conscious people that wanted lesser calories but still enjoy beer.Product DiversificationSeeking to create or develop new products, lines or product ranges for new markets. For example, when Apple introduced the IPad tablet, which revolutionized how people work and manage taske with implore and swipe on the screen.Existing ProductsNew ProductsExisting MarketsMarket PenetrationProduct DevelopmentNew MarketsMarket DevelopmentDiversification8. Discuss BCG Matrix/Grid (10 points)The Boston Consulting Group (BCG) Matrix is a aboveboard tool to assess a companys position in terms of its product range.Question MarksQuestion marks are products that grow rapidly and as a result consume braggart(a) amounts of currency, but because they have low market shares they dont give much immediate payment. The result is a large net cash consumption. A question mark has the potential to gain market share and become a star, and eventually a cash cow when the market growth slows. If it doesnt become a market leader it will become a dog when market growth declines. Question marks need to be analyzed carefully to determine if they are worth the enthronization required to grow market share.StarsStars generate large sums of cash because of their strong relative market share, but also consume large amounts of cash because of their high growth rate. So the cash being spent and brought in approximately nets out. If a star can maintain its large market share it will become a cash cow when the market growth rate declines.DogsDogs have a low market share and a low growth rate and neither generate nor consume a large amount of cash. However, dogs are cash traps because of the money buttoned up in a business that has little potential. Such businesses are candidates for divestiture.Cash CowsAs leaders in a develop market, cash cows exhibit a return on as ticks that is great er than the market growth rate so they generate more cash than theyconsume. These units should be milked extracting the profits and investing as little as possible. They provide the cash required to turn question marks into market leaders.9. Discuss Product Life speech rhythm (10 points)The Product Life Cycle (PLC) is used to map the lifespan of a product. There are generally quad symbolizes in the life of a product. These four awards are the Introduction stage, the product stage, the adulthood stage and the downslope stage.The Four Stages of the Product Life Cycle1. Introduction The Introduction stage is plausibly the most important stage in the PLC. In fact, most products that fail do so in the Introduction stage. This is the stage in which the product is initially promoted. Public awareness is very important to the of a product. If people dont last about the product they wont go out and buy it.There are two different strategies you can use to introduce your product to c onsumers. You can use either a penetration strategy or a skimming strategy. If a penetration strategy is used then prices are set very high initially and then gradually lowered over time. This is a good stategy to use if there are few competitors for your product. Profits are high with this strategy but there is also a great deal of risk. If people dont want to pay high prices you may lose out. The randomness pricing strategy is a skimming strategy. In this case you set your prices very low at the ascendant and then gradually increase them. This is a good strategy to use if there are alot of competitors who take for a large portion of the market. Profits are not a concern under this strategy. The most important thing is to get you product known and worry about making money at a later time.2. Growth If you are lucky enough to get your product out of the Introduction stage you then enter this stage. The Growth stage is where your product starts to grow. In this stage a very large a mount of money is spent on advertising. You want to of telling the consumer how much better your product is than your competitors products.There are several ways to advertise your product. You can use TV and radio commercials, magazine and newspaper ads, or you could get lucky and customers who have bought your product will give good word of mouth to their friends/family.If you are successful with your advertising strategy then you will see an increase in sales. Once your sales begin to increase you share of the market will stabilize. Once you get to this point you will probably not be able to take anymore of the market from your competitors.3. Maturity The third stage in the Product Life Cycle is the matureness stage. If your product completes the Introduction and Growth then it will then egest a great deal of time in the Maturity stage. During this stage sales grow at a very fast rate and then gradually begin to stabilize. The key to surviving this stage is differentiating your product from the similar products offered by your competitors. Due to the fact that sales are beginning to stabilize you must make your product stand out among the rest.4. Decline This is the stage in which sales of your product begin to fall. Either everyone that wants to has bought your product or new, more innovative products have been created that replace yours. Many companies watch to withdrawal their products from the market due to the downturn. The only way to increase sales during this period is to cut your costs reduce your spending.10. How can Marketing care in nation building? What marketing concept(s) can be more useful for nation building? (5-point bonus)Nation building can be done through promotion of the wonders of the Philippines using advertisements that can be shown using international programs such as CNN and BBC. Commercials that would emphasize the talents of the people, as well as promote investments of foreign companies orinvestors.Referenceshttp//www.tutor2 u.net/business/marketing/segmentation_why.asp http//www.nku.edu/issues/internet_marketing/newwebpage1.html http//www2.accaglobal.com/documents/boston_consulting.pdfhttp//www.businessdictionary.com/definition/Ansoff-matrix.html