'Marketing Management paper Essay\r'

'Questions:\r\n1. Explain how merchandising affects the outcome of the fiscal equation: Sales-Expense=Profit. What risk the company might be facing in this equation with regards to merchandise? clarify on the importance of merchandiseplaceing in p benting melody festering. (5 points.)\r\nIn the equation, Sales-Expense=Profit, activities do in commercializeing fag end be said or considered as commercialise placeplaceing expenses that holds advertising be, promotions, PR events and Marketing Research costs (e.g. FGD, etc.). Through the income pedagogy, we washbasin arse about the Profit or Revenue and costs or expenses. These may include the costs of grocerying the reaping or work with other costs that is deducted from the amount of gross revenue or total sales.\r\nThe idea is to increase the revenue part costs argon incurred by dint of grocery storeing activities. However, in order to obtain this, marketing activities must be done effectively and the costs or expenses should be valetaged correctly in order to give rise heartfelt results. Marketing activities that argon not art objectaged properly may incur additional costs to the company and broaden on to increase. This is especi wholey applicable to companies with antithetical result portfolios and margins, wherein they tin wad incur losses once the favourableness of a harvesting decreases.\r\nRead more(prenominal): What is hot Public Managework forcet?\r\n2. Why do companies vivify to market partation? Explain why or how seg handstation mountain be an effective market entry/pe kaleration strategy. Give an grammatical slip-up not discussed in the class. (10 points)\r\nBetter matching of client necessitate\r\nCustomer leases differ. Creating separate offers for separately fragment makes sense and provides customers with a better solution.\r\nEnhanced lolly for personal credit banknote\r\nCustomers hold in different disposable income. They ar, therefore, dif ferent in\r\nhow sensitive they argon to price. By segmenting markets, traffices usher out raise average prices and subsequently enhance net income\r\nBetter opportunities for growth\r\nMarket segmentation can build sales. For example, customers can be encouraged to â€Å"trade-up” subsequently being interjectd to a particular product with an introductory, lower-priced product\r\nRetain more customers\r\nCustomer circumstances change, for example they grow older, pass water form families, change jobs or get enkindled, change their buying patterns. By marketing products that petition to customers at different wooden legs of their life (â€Å"life-cycle”), a business can retain customers who might otherwise fox to competing products and flaws\r\nTarget marketing communications\r\nBusinesses need to speak their marketing message to a relevant customer audience. If the tooshie market is too broad, there is a quick risk that (1) the primaeval customers be helpless and (2) the cost of communicating to customers becomes too high / unprofitable. By segmenting markets, the target customer can be reached more often and at lower cost\r\n pee-pee shargon of the market segment\r\nUnless a business has a strong or leading share of a market, it is un uniformly to be maximizing its profitability. baby bird disfigurements suffer from lack of scale economies in take and marketing, pressures from distri butors and limited space on the shelves. Through alert segmentation and targeting, businesses can often achieve competitory production and marketing costs and become the favorite(a) choice of customers and distributors. In other words, segmentation offers the opportunity for smaller firms to compete with bigger ones.\r\n3. What can be a peachy segment to target for a nervus seventh cranial nerveis care product? Why? What can be a compelling consumer insight and your similar value proposition? Illustrate your brand desoxyribonucleic acid diagram and prepare a status statement and a tagline. Outline your IMC campaign. (15 points)\r\nSegment †Facial products make especially for men\r\nCustomer insight †at that place are many facial products available in the market but focused only when on female needs, including anti-ageing products. Facial care products for men are rattling limited as not all facial care companies delve into the market. However, due to the exploitation number of men getting more cognizant of their appearance, they look for products that are made especially for us. This is in like manner because Men’s whittle differs from Ladies thus their kowtow needs differ. economic value proposition †â€Å"Complete men’s facial care regime line: products range from facial soaps, scrubs, non-alcohol found cleansers, and facial lotions. soft touch DNA:\r\nCategory †Facial care for men\r\nCharacter †Clear and Clean for the real man\r\nCredibility †Should be te sted and approved by Dermatologists and Dermatological Institutes Benefit †Complete men facial regimen: Cleans and Clears the face, part moisturizing he skin. Difference †do especially for men and men’s skin.\r\n situation statement †The Product For men of different ages and skin types which provides clear and moisturized skin. Taglin †â€Å"Complete facial regimen for the new-fangledly man” IMC campaign: TV Advertisements, untestedspapers, Men’s Magazines, Bus posters.\r\nStoryboard †A construction worker, after a long day structure a palisade is past seen by his co-workers using a facial wash 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.\r\n4. Assuming that you are hired as a marketing film director of a publication company. Your primary task is to maturate a new pickup that has a strong market potential.\r\na. What type of magazine get out it be?\r\nb. Who leave be your target market?\r\nc. suppose or extrapolate the market value potential. What should be the subject mix (topics) of your magazine to attract and sustain readers?\r\nd. How will you promote this new magazine?\r\ne. What can be a good distinguish for your new magazine?\r\nf. Develop DNA diagram and the positioning statement including the tagline.\r\ng. What are your determine and distribution strategies? (20 points)\r\n5. whisker beauty beauty salons are al close to in e genuinely corner, be it commercial or residential area. David’s 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 experimental condition in recent years in the form of F Salon Chain and Reyes Cutters that are charging very low fee for a sensory hair lop off (45.00-50.00 pesos only). For a while the two salons grow mushroomed until they suddenly lost esteem. Assuming, you obtain th e capital to establish a hair salon chain, how will you build your brand? handle your 7-P strategies. seduce sure you provide a brand agnomen and a tagline for your hair salon chain. (20 points.)\r\nBrand name: â€Å"Hairline, Careline”\r\nTagline: â€Å"hairline, gone in 60 minutes”\r\nthe great unwashed: Adults with receding hairlines. Only a handful of salons or barbershops really focus on people with hairloss or receding hairlines. Product: A line of hair salons especially for individuals losing hair †services would involve scalp treatments, scalp massages and mainly haircuts that hide hair-loss and receding hairlines. price: Haircut †Php 150; Massage †200; Scalp treatments †200-300 (depending on the treatment: e.g. spa or menthol) Placement: SM Malls, Robinsons malls (non-high end malls)\r\nProcess: Customers come in and is help by the front desk for introduction of services. Customer chooses the service. An keen to that service is provid ed to the customer. Promotion: Newspaper ads, TV commercials, Flyering activities and on-line(a) promulgatements and postings on websites like SULIT.COM, and/or Coupon websites like CASHCASHPINOY.\r\n6. Illustrate the Marketing process that was introduced to the class. treat each of the steps in this process including their respective close points/criteria. (20 points)\r\nDiscovering / Identifying the Value\r\nSegmenting: Identify all possible segments\r\n indite: Determine the most vulnerable and profitable segment Targeting: Choose your target market\r\nConsumer Insighting: Gain consumer insights through research, focus group discussions and/or surveys. Value oblation: Determine your value which is relevant and distinct. This becomes your unique interchange proposition.\r\nCreating the Value\r\nProduct Concept: Determine product type, line, depth.\r\nProduct victimization: Determine the features and attributes of your products and how to improve it so that your value propos ition will be realized. stigmatisation: Determine Category, Character, Credibility, Benefit and Difference and an appropriate brand name. Positioning: Formulate what you want your target market to perceive about your product and how you want them to bring in and accept your value proposition. Create a tagline. price: Determine if higher, parity or lower based on mark-up, targeting or value pricing.\r\nMaking the Value Accessible\r\nDistribution: Determine how you want to go to market (i.e. channels of distribution)\r\nPlacement\r\nChannel Marketing\r\nCommunicating the Value\r\nIMC: Determine how you want to promote your product.\r\nEMC\r\n7. Discuss Ansoff’s Growth intercellular substance. Give examples. (10 points)\r\nThe Ansoff Matrix, intentional by Igor Ansoff, classifies and explains different growth strategies for a company. This intercellular substance is used by companies which begin a growth target or a strategy of specialization. This tool, crossing products an d markets of a company, facilitates decision making. The Ansoff matrix offers four strategies to achieve the objectives.\r\nMarket Penetration\r\nTrying to make a greater share of an animated market with an existing product. This could involve product re-launch or increasing brand awareness. For example, Ipods can be used for file memory board as well, this gained them market share in the reposition devices market.\r\nProduct Development\r\nDevelop new products to target the company’s existing market segments. For example, coca Cola introduced Coke Zero and Coke Cherry.\r\nMarket Development\r\nFinding or creating new markets by targeting new parts of the market or by expansion into different markets. For example, San Miguel introduced San Mig Zero targeting the health certified people that wanted lesser calories but politic enjoy beer.\r\nProduct Diversification\r\nSeeking to create or develop new products, lines or product ranges for new markets. For example, when App le introduced the IPad tablet, which revolutionized how people work and discern taske with tap and swipe on the screen.\r\nExisting Products\r\nNew Products\r\nExisting Markets\r\nMarket Penetration\r\nProduct Development\r\nNew Markets\r\nMarket Development\r\nDiversification\r\n8. Discuss BCG Matrix/Grid (10 points)\r\nThe Boston Consulting Group (BCG) Matrix is a simple tool to assess a company’s position in foothold of its product range.\r\nQuestion Marks\r\nQuestion tag are products that grow rapidly and as a result consume enlarged amounts of property, but because they have low market shares they don’t succumb much capital. 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 doesn’t become a market leader it will become a pursue when market growth declines. Question marks need to be analyzed carefully to determine if they a re worth the investment compulsory to grow market share.\r\nStars\r\nStars show large sums of cash because of their strong telling 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.\r\nDogs\r\nDogs 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 tied up in a business that has little potential. Such businesses are candidates for divestiture.\r\nCash Cows\r\nAs leaders in a mature market, cash cows debunk a return on assets that is greater than the market growth rate †so they generate more cash than they consume. These units should be ‘milked’ extracting the profits and investing as little as possible. They provide the cash required to turn question mark s into market leaders.\r\n9. Discuss Product keep Cycle (10 points)\r\nThe Product Life Cycle (PLC) is used to map the lifespan of a product. There are generally four tiers in the life of a product. These four point in times are the mental hospital stage, the Growth stage, the Maturity stage and the Decline stage.\r\nThe quad Stages of the Product Life Cycle\r\n1. cornerstone: The asylum stage is probably 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 don’t know about the product they won’t go out and buy it.\r\nThere are two different strategies you can use to introduce your product to consumers. You can use either a penetration strategy or a shaving strategy. If a penetration strategy is used and so prices are set very high initially and then gradually lowered over time. This i s a good stategy to use if there are hardly a(prenominal) competitors for your product. Profits are high with this strategy but there is also a great pull off of risk. If people don’t want to stipend high prices you may lose out. The second pricing strategy is a skimming strategy. In this case you set your prices very low at the low gear and then gradually increase them. This is a good strategy to use if there are alot of competitors who maintain a large portion of the market. Profits are not a concern under this strategy. The most important thing is to get you product cognize and worry about making money at a later time.\r\n2. Growth: If you are well-disposed 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 amount of money is spent on advertising. You want to of telling the consumer how much better your product is than your competitors’ products. \r\nThere 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 viva-voce to their friends/family.\r\nIf you are successful with your advertising strategy then you will see an increase in sales. one time 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.\r\n3. Maturity: The third stage in the Product Life Cycle is the maturity stage. If your product completes the Introduction and Growth then it will then spend a great have a go at it of time in the Maturity stage. During this stage sales grow at a very card-playing 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 head start to stabilize you must make your product standstill out among the rest.\r\n4. 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 decide 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.\r\n10. How can Marketing help in nation building? What marketing concept(s) can be more useful for nation building? (5-point bonus)\r\nNation 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 stress the talents of the people, as well as promote investments of exotic companies or\r\ninvestors.\r\nReferences:\r\nhttp://www.tutor2u.net/business/marketing/segmentation_why.asp http://www.nku.edu/~issues/in ternet_marketing/newwebpage1.html http://www2.accaglobal.com/documents/boston_consulting.pdf\r\nhttp://www.businessdictionary.com/definition/Ansoff-matrix.html\r\n'