A.

1 Do you believe that prices reflect the value that consumers are willing to pay or should
primarily reflect the cost involved in making a product or service?

In a production concept of marketing, customers are willing to pay for the products that is
cheaper and readily available. Nowadays, with the rapidly changing business environment, the
growth of the internet and fast paced technological advancement, leads the consumer to
demand products that are not only cheap, but also with high quality.

The production concept of marketing that focuses on the prices and cost of the products offering
are still in use by many organizations. However, with the increasing demand also for quality, the
concepts of marketing comes into a completely new level. Organization must now, in the recent
environment, to change the way they view their customers.

The marketing concept describes that the key in achieving goals of the organization is to be
effective than competitors by creating, delivering and communicating superior customer value to
its target market. The prices and the cost does not only reflects the value that the customers are
willing to pay, but the sense of providing satisfaction to the customers in using the organization
products.

Customer now, wants not only cheap, but also with quality product offering. With that,
organization should view their marketing and producing products on a holistic level, meaning, all
the possible cause that affects the customer value. In this case, effective management of
minimizing cost without sacrificing the quality of the product shall be taken into consideration by
the organization. There are many cost minimization processes and techniques that the
organization should practice without sacrificing the quality of the product. (E.g. Economies of
Scale and Economies of Scope).

Organization now should have a wide view of the cause affecting the customer value and they
shall invest in it in order to win the hearts of the customer.

A.2. Is TV advertising still the most powerful advertising medium in the Philippines or has it
faded its importance?

Recent study in the US showed that the usage of Traditional TV have been declining,
resulting for the marketers to shift advertisement from TVs to the Internet and Social Media.

The sprout of digital and streaming television apps like Netflix, AmazonTv, Hulu, Disney
Plus and any other streaming apps pulled the usage of television down. Same also in the
Philippines where people are dependent on the social media to provide access to information in
which the marketers here should take into consideration.

Philippines, renamed as the “social media capital of the world”, has constituent that are
largely dependent on the smartphones, computers, internet and other technology that provides
them access to information.

The TV advertising now is not as powerful advertising medium as on its early days. With
the declining usage of television and the increasing dependencies on social media and in the
internet, companies now are shifting their advertisement through the internet to capture the
attention of the consumers. Perhaps advertisement in internet and social media are much
cheaper and cost effective compared to the television.

A.3 Outline and discuss the principal causal factors that encourage firms to undertake the
international marketing of their products and services.

Globalization, the phenomena that increases competition not just locally, but into an
international scale. Many, especially large companies and conglomerates, expanding their
offerings outside the border. Expansion of these companies resulted to an increasing and stiff
competition that pressures other companies to take into an international level for them not to be
left out.

The cost doing business in the country also the causal factor of the companies to expand their
offering into an international scale. For example, other countries entice investors to put their
business into their country by offering them tax incentives, tax holidays and low cost of investing
in their country. This scenario put pressure on the companies to enter into international market.
Opposite of that if the country of origin of the companies makes them hard to operate due to
high cost of investment, complex processes and regulatory policies, etc., leads them to depart
and invest in other territorial soil.

B.1 For Age Targeting, What brands and products do you feel successfully “speak to you” and
effectively target your age group? Why? Which ones do not? What could they do better?

Since, I am in the Post-Millennia Generation and we are now largely dependent on the
technology that the world offers to us, I think the brand and products the successfully speak to
me and targeted us, the tech-savvy generation, is the Samsung smartphones. Samsung offers
technology of convenience and innovations to us millennials and the need for us to access to
information and a freedom of expression was captured by the Samsung. We are now living in
the age of technology and having a smartphones, especially on professionals, becoming a
need.

The brand of phones that does not captured me or even entice me to buy are Apple
Products. My very first reason is that, it’s expensive and has a closed system economy that you
can use it on other Apple devices and operating system and with limitation on its usage on
windows, Microsoft, and other android devices which for me does not provide convenience.
Ever since, I am an android user and I prefer Samsung products to other due to the
convenience they offered. What I am after is the convenience and simplicity they offered, and of
course the price.

I think for Apple, for me to be enticed on using their products is to offer their products
with different prices (High-Range for upper class and Mid-Range to the middle class user)
without sacrificing their status in the industry. Moreover, about the convenience, I think they
should consider an unlimited and wide range of connection and usage to provide user
convenient and user-friendly product offering.
B.2. Take a position: Marketing shapes consumer needs and wants versus marketing merely
reflects the needs and wants of consumers

Marketing shapes consumer needs and wants

The marketing concept discusses that the key or effective way in achieving goals is to be
more effective than competitors in creating, delivering and communicating superior customer
value to its chosen target market.

That marketing concepts discusses how the consumer needs and wants shapes
marketing. Effective marketing starts from the customer perspective on the products and/or
services that the company delivers. In order to create a superior products and/or services,
marketers investing in the customer’s value created by using the product and/or services. This
means that the marketers, first identifies what are the needs and wants of the customer and
how they are going to do about it and the factors that affects the customer perception on the
products and/or services. With that, marketers create and calibrate products and/or services
offering that suits the customer perception.

Marketing shapes consumer needs, wants, and vice versa. This indicates that the
relationship of the marketing and consumers are symbiotic in nature. Consumer’s needs and
wants were given by the marketing through their products/services and marketing creates profit
and increases company’s value through the consumers’ acceptance and usage of the products
and/or services.

B.3 A good mission statement of an organization incorporates the customer value to be

delivered, employees welfare and well-being, and external environment that shapes the
organization.

Companies, in creating a good mission statement shall incorporate the delivery of a

superior customer value. Of course, the major factor that affects the company’s success is the
consumer. Company generates profit and increases is value through the consumer. With that,
for the organization to reach its success, embracing customers shall be on top priority.

Companies, in creating a good mission statement shall embrace employees’ welfare and
well-being. Companies are paralyzed without these employees. The success of the company
lies also on the employees character, behavior and performance. Considering also that bulk of
cost comes from the employees, and with that, companies, shall put into importance the
employees general welfare and well-being.

Companies, in creating a good mission statement shall incorporate external environment

that shapes them. External environment such as the economic environment, ecological
environment and social environment. Not only organization should view the organization on an
internal level, but also considering the external environment that shapes the company.
 The holistic viewpoint approach shall the company use in creating a good mission
statement to capture everything that shapes the company’s success in the industry.