Get Your Assignment Done at the Most Affordable Prices
Get Your Assignment Done at the Most Affordable Prices
16 Pages 4041 Words 11329 Downloads
Market planning is a document which is written to describe the current market position of business with its strategy of Promotions and marketing efforts. Marketing plan normally covers a period of one to five years (Prue and Daniel, 2006). This report is based on a case scenario of Samsung Electronics. Samsung group is huge organization with many divisions like, Mobile communication, telecommunications, computer division, Mp3 business and many more. This report will help to review the changing perspective in marketing planning along with organization's capability for planning future marketing strategy.
Changing perspective for the current market situations which are based on the requirements of customers along with their future requirements are essential to analyze (Slotegraaf and Dickson, 2004). Samsung can analyze these changing perspectives on the basis of internal and external assessment, that are as follows:
The Production Concept: Samsung is a multinational organization and it operates in multiple divisions of electronics such as, televisions, mobiles, computers and laptops etc. The organization is in profitable condition which satisfies all the customers’ demands. Consumers are only comfortable with the product which is widely available and is less expensive. Accordingly Samsung is focusing on this concept to concentrate on achieving high production efficiency. This orientation has helped Samsung to develop in countries where customers are more interested in samsung products and then its features.
The Product concept: The product concept of Samsung retains those customers which favor the products that offer the quality, performance and innovative features (Greenley, Hooley and Saunders, 2004). The organization is making superior quality products and is improvising them with time. Thereby, Samsung Electronics has proved itself as the best brand.
The Selling concept: This is the most important orientation in common business practices which retains customers and business together. Thereby, Samsung undertakes an aggressive selling and brand promotion efforts to attract more consumers (Ardley, 2005).
The Marketing concept: Moreover, marketing concept of Samsung holds the key to achieve its organizational goal. The marketing concept assists the Samsung Electronics to be more effective than its competitors in delivering, creating and communicating value to customers (Sadjadi, Ghazanfari and Yousefli, 2010).
The societal marketing concept: This concept determines the needs and interest of target market and to deliver the desired products more effectively and efficient than its competitors.
Samsung has strong capability to plan the marketing process because it has billion numbers of consumers in multiple countries. The Capabilities of organization has been categorized that is as follows,
Financial capabilities: Samsung's possesses strong financial capabilities to hold market and brand promotion activities. It is the top rising brand and primarily it is achieved by organization's ability to promote the brand in various events and social contribution. Increased brand promotions increases product sales which help the organization to become finally capable in planning current and future marketing strategies (Taghian, 2010).
Skilled Employees: Samsung has most skilled employees who plan and develop effective marketing strategies with their innovation and creativity.
Good brand image: Moreover, Samsung is a well known name in countries. A good brand image makes organization capable for planning and developing future marketing strategy.
Loyalty: Samsung is very old name between people because of its better and improved product and high quality customer services (Bunnell, 2005). This loyalty of customer helps the organization to attract more customers. Further, it assist the Samsung to become capable for Planning future marketing strategies
Marketing planning is essential for running the business or organization. Samsung has analyzed various factors in order to have the best marketing plan. Samsung is carrying out PESTEL analysis for organizational auditing (Wilson, 2004). PESTEL is a framework used by marketing team to analyze and supervise the external marketing environment which eventually makes an impact on the organization. Moreover, it provides an understanding of market structure that represents one of the back bones of strategic management which defines what an organization should do in order to achieve the organization's goals and its strategies. However, the firm can also use SWOT analysis for identifying internal and external factors that affects the marketing planning.
SWOT analysis of business will help in identifying the strengths, weaknesses, opportunities and threats of a business while developing a marketing plan. By swot analysis firm can improve the weak points and implement the marketing plan as per opportunities available for business. Similarly, BCG Matrix is one of the effective way to analyze product lines as growth opportunities. BCG matrix targets in identifying high growth prospects by dividing product range according to market share and growth rate of the company. However, Samsung can use these techniques to analyze business environment and growth opportunities.
These external environmental factors are as follows:
Political factors: This factor depicts about the way in which government intervenes in the economy. These political influences include government policy, political stability or instability in market, foreign trade policy, tax policies, environmental law, labor law and trade restrictions etc. These political factors highly make influence on business environment of Samsung. For instance, a government has proposed a new tax due to which entire revenue generating structure of organization has been changed (Prue and Daniel, 2006).
Economic Factors: These factors have significant effect on the way in which an organization is performing a business and their profitability. For instance, the firm, A, that is rising prices in economy would definitely affect the way in which Samsung set their price for the products and services. Moreover, it would also affect the buying decision of customers that will change the demand and supply of product for that economy. Economic factors are based on rising prices, interest rates, economic growth patterns and foreign exchange rate. (Wood, 2008).
Social: Social factors determine the social environment of market, cultural trends, population and demographics. For example, if a person is buying a Samsung smart phone then he will influence his friends and family also to buy the same.
Technological: Further, technological factors are concerned with developing creativity in technology that will affect the operations of industry or market in a positive or negative way. These factors highly influence Samsung for effective marketing planning. Technological factors refer to automation, development and research with the huge technological awareness in the market environment (Cravens and Piercy, 2008).
Environment: After technological factors, environmental factors for samsung are influenced by the surroundings of market. The purpose of PESTEL is important for certain commercial enterprises. For instance, Tourism and farming are the factors of business environment analysis but these factors are not based on weather and global changes in the climate.
Legal: This is the most important factor that affects both internal and external side of the firm. There are some laws which really affect the business practices in various countries (Greenley, Hooley and Saunders, 2004). Since Samsung runs business in various countries, it has to follow those policies that organization has to maintain. For example, Samsung has to consider consumer laws, safety standards and labor laws of certain country.
There are various barriers that come in the way to implement an effective marketing planning. Some of them are described as follows:
Lack of Coordination: Main barrier in implementing the marketing planning is lack of coordination between departments. For instance, sales team of Samsung wants to implement some marketing strategies and finance department refuses to raise the funds for such strategy. Thereby, without financial support, it is impossible to implement the marketing planning. Similarly, coordination differences between other departments also acts as a barrier in marketing planning (Cravens and Piercy, 2008).
Absence of information: Further, to implement the marketing planning, it is important for employees to be knowledgeable and to possess the information about various market factors such as all strategies or plans that their competitors are applying and whether the plans developed by them will fulfill the organizational needs or not (Slotegraaf and Dickson, 2004). However, this absence of knowledge is one of the barriers in marketing planning.
To overcome these barriers, Samsung can implement the following strategies:
Developing communication between departments: Samsung can establish an effective communication between departments to overcome the situation of lack of coordination. Effective communication between all employees can resolve many problems. Samsung can organize team meetings and group discussions between employees to share their thoughts and ideas with each other (Ardley, 2005). Communication will help the organization to maintain a healthy and friendly work environment which will establish better team coordination.
Training and development: In order to overcome the barrier of absence of information in employees, organization can arrange training and development programs for their employees (Greenley, Hooley and Saunders, 2004). By the help of these programs, employees can develop their skills, knowledge and ability to work effectively in the firm. Thus, training and development programs are important in the organization for overcoming the barriers in marketing plan.
Marketing planning is an essential document for business for planning and implementation of strategy. It provides an idea to organization for market environment, describes market problems as well as threats and opportunities in the business with marketing strategy. Marketing planning in Samsung provides data which can be helpful in the new product launch (Greenley, Hooley and Saunders, 2004).
However, Strategic planning is a wide process that can address the whole business of organization in which marketing planning is also included. To understand the relationship between marketing planning and strategic planning, it is very important to understand the purpose of organization’s strategic planning.
It is just not enough to make a marketing plan; the marketing plan has to include some form of measurement and a process for monitoring and reviewing the results also. For example, Samsung has prepared a marketing plan for the launch of new smart phone but to implement this marketing plan, strategic planning process is essential (Baker and Holt, 2004). An overall strategic plan can focus on the objectives of marketing, thereby; marketing plan should be more detailed and specific for the marketing department for monitoring.
In order to grow a business following are the techniques for new product development, Such as,
Idea Generation: Innovation is bringing change by using of new ideas. Samsung's strengths are its innovative workforce. Samsung motivate its employees for their performance, so that they come out with new inspiration and ideas (Slotegraaf and Dickson, 2004). Furthermore, the employees of Samsung has the ability to take risk which sometimes helps in innovating something different which competitors are not doing. This innovation ability in employees helps Samsung to develop new product.
Idea Screening: Idea screening is a process of comparing new product related ideas and viewpoints and selecting the most appropriate idea of new product development for business.
Idea Development and testing: Furthermore, in this process development of new product and its advantages and disadvantages to the customers should be identified. This includes the product development cost, customers reaction for this product target market and decision maker in buying process factors for developing the idea of new product.
Business Analysis: In today's competitive environment, firm cannot compete alone on price and delivery. Samsung can gain ideas from its competitors for developing new product. In high tech generation, companies can survive only if they are introducing new products time to time in the market (Baker and Holt, 2004). Thereby, with the help of information of competitors, Samsung can gain new technology ideas, price, and other market trends information which will be required in developing new product.
Market Testing: For developing new products, Samsung can use customers and employees feedback, such as, which product they are using currently and what are their future needs and demands. Samsung collects information and data from customers, So that they may get to know the new requirements of the customers (Wood, 2008). Customer provides ideas including product suggestion and improvement in products which they are already using. As per market demand, organization can develop new product.
Technical Implementation: Further, technical development includes estimation of total resources the firm requires for new product, data sheet of the product with new technical features of the product and logistic plan to distribute new product in targeted market segment.
Commercialization: After technical implementation commercialization is important part of new product development which includes strategies related to the launch of the product in target market. For commercialization firm decides various marketing ideas advertisement and other promotional activities.
New Product pricing: At last, cost of the final product is decided by analyzing value , competition, product cost. Revenue and profit to the organization.
Marketing Plan is prepared for Samsung Galaxy S6 Edge+ product of the company which covers the following points.3.1 Product and services
Marketing plan for Samsung galaxy S6 Edge+ is as follows,
Features: As per high tech need of consumers Samsung has launched a smart phone, Samsung GalaxyS6 Edge +. This smart phone has 5.7 inch touch screen display with 1440 pixel by 2560 pixel resolution at a PPI of 518 pixel per inch. It has Android 5.1.1 version operating system and 3000MAH non removable battery. This is 153 grams light weight phone with Single sim (GSM) that accepts a
Micro sim. Connectivity option of this pone includes Wi-Fi, GPS, Bluetooth, NFC and 4G. Other than these features this phone contains Proximity sensor, Ambient light sensor, Accelerometer and gyroscope.
Penetration pricing: A marketing strategy used by Samsung to attract customers to a new Galaxy S6 Edge+ is penetration pricing. According to this, Samsung will offer low price of the product at the initial level of product launch to attract customers. By the use of this strategy, more customers will buy this phone and become familiar with the features and recommend this phone to their friends and relatives (Andreasen and Kotler, 2008). This is most successful marketing strategy which is used by Samsung. Lower prices in beginning along with high quality features create positive brand image in customer's mind.
Distribution: The Samsung have strong sales team to provide its product direct to its end users. Samsung will distribute its product through its stores, websites and dealers. For direct distribution of product, Samsung can use brand promotion activities, such as, road shows, marketing campaigns etc.
Communication mix: Samsung can use marketing communication which will help them to develop brand awareness between consumers. As per this strategy, Samsung can use marketing ideas to communicate about their new product (Prue and Daniel, 2006). For Instance, Advertisement in TV, newspapers and online Social media is most popular these days which can be utilized as a marketing strategy. Similarly, Road shows, brochures and word of mouth can also create awareness about Samsung Galaxy S6 Edge smart phone.
Following are the factors which affect the effective implementation of marketing plan. These are as follows:
Ethical issues in marketing planning begins from conflicts and disagreements. Every segment in marketing transactions comes with a set of prospects regarding the way in which business relationships will be maintained and manner of managing the transactions (Labbi and Berrospi, 2007). Ethical issues influencing marketing planning are as follows:
Price: Samsung is facing pricing as an ethical issue which influences the marketing planning. The price of a product makes an effect on product sales. Marketing ethics mainly involves pricing practices with legal actions that is price fixing, price discrimination or price skimming. Samsung has to maintain fair price between customers. Different prices in different customer segments affect the product sales and brand image as well. Thereby, price is a measure ethical issue that influences the marketing planning (Andreasen and Kotler, 2008).
Production: Ethical issues commonly deal with the liability of companies to make sure that products and production do not cause harm to people. Moreover, production of product is also an ethical issue which influences marketing planning. Samsung is launching a new mobile in the market if they are not mentioning all the details related to product such as warranty, guarantee, service support etc. to the consumers. Moreover, Production handles corporate social responsibility that product is produced is good and does not harm people by its use. Thus, it is an ethical issue which organization will face in the marketing planning (Prue and Daniel, 2006).
Promotion: Furthermore, if Samsung is hiding something negative about the product in promotional activities and advertisement then it is an ethical issue for consumers. Organization cannot hide anything from customers if their product has some positive points which is Samsung is showing in their promotion activities and advertisements then they must have to show the negative points of products if it has something (Sadjadi, Ghazanfari and Yousefli, 2010).
Mostly, the entire finance department in business faces ethical issues in their marketing planning. Ethical issues occur in many forms. Sometimes, organization needs support to resolve the challenging conflicts. A common feature to respond these ethical issues is to bring awareness in organization about the fundamental principles in their professional code of ethics (Bunnell, 2005). A characteristic of business possesses the responsibility to act in public interest along with the professional ethics. For instance, Tesco was found in a horse meat scandal in 2013. According to this horse meat was found in their packaged beef burger. This scandal revealed a major break down for food supply chain. After customers complaints and recommendation from European union labeling of the origin of processed meat was published. However, It was an ethical issue because some consumers do not prefer horse meat.
Organization always needs to carry out its brand image but while doing this; it cannot make negative publicity of other brands. This strategy can be harmful for both the organizations because a firm’s ethical behavior describes its organizational culture (Ardley, 2005). Furthermore, Bangladesh government was also victimized to these ethical issues, In Bangladesh 1.3 million children were unexpectedly working in a Primark factory to earn money for their family. Basically this is ethical issue of child labor in Bangladesh. Finally, as per legal actions the factory was collapsed and the proper education program for these children was implemented by government. Moreover, ethics in marketing deals with the core value and ideas by which sales department of business acts. Product which they are providing to use will be consumed by many customers, so, this is the responsibility of organization to come with the products which does not hurt ethical dilemmas of customers.
Customers are the backbone of marketing planning in new product’s sales. Customers make a huge impact on marketing planning directly and indirectly. Marketing practices depends on the consumer ethics as their thoughts and ideas may be different as it depends on their culture (Sadjadi, Ghazanfari and Yousefli, 2010). Further, it is also based on customers’ requirements. For instance, if Samsung is distributing its products between customers with plastic packaging, it will affect the environment. Because there will be large number of customers who will consume those products, thereby, the organization has to change the product’s packaging and they have to find out some new ideas for packaging that will not damage the environment. This change in packaging affects the marketing planning (Taghian, 2010). One more example for customer ethics that affects the marketing plan is if a customer purchase a dress from a shop and wears it in a party and next day return it again to shop is not actually an attempt of cheating by customer that affects the whole marketing plan. However, the firm can change the exchange policies and return policies for controlling this kind of issues. Thus, changes in these policies can change the whole marketing plan. Marketing practices are unreal if their consumers think that they will be getting more value from a product than they actually receive.
In this report, the purpose of marketing plan clearly depicts the steps and actions that an organization can take to achieve the planned goals. Marketing is the process of developing and implementing the plan to satisfy the consumer’s demand in a way that organization can make higher profits. For instance, marketing plan might have the strategy to increase the market share of a business. But to implement this marketing plan, it is essential to have an effective sales team which can satisfy their consumers’ needs by their products. This report helps in establishing the understanding of marketing planning and the factors which affect the internal and external marketing planning. This report has analyzed the ethical issues in marketing planning and their influence on marketing planning.
INTRODUCTION The marketing is a essential tool to promote any business with effective manner. Further it helps to maintain stability of organisation in competition area with fair manner. On the other hand, in modern time period, it is very important for every enterprise. It is because marketing...ReadMore14 Pages 3521 Words 442 Downloads
Introduction Marketing is the process of management that helps the management to identify,anticipate and supplies the requirements of the customers. Internet marketing is the marketing of selling of goods using the internet. In today’s world with the developing technology, internet has made...ReadMore18 Pages 4545 Words 1105 Downloads
Introduction Marketing is a process of communication between the company and customers with the goal of selling products and services to the ultimate users. It involves various ranges of processes which are concerned with finding out the demand of customers and then fulfilling it for them....ReadMore15 Pages 3744 Words 1428 Downloads
Introduction Marketing is a set of activities which are involved in the transfer of goods and services from manufacturer to the final consumer. It is an important managerial process that pertains to communicate the worth of services and products to customers with the aid of promotional techniques....ReadMore19 Pages 4750 Words 1547 Downloads
Introduction Marketing is considered as one of most critical aspects that can lead every business towards the impressive level of success. In other aspect, it can be said that it is a technique that provides effective development and creation of various factors which are beneficial for the...ReadMore14 Pages 3503 Words 1479 Downloads
25% OFF + Free Turnitin ReportImprove Your Grade !Avail the Best Custom Assignment & Essay
Get all these features for