Lagman, Jerika L.

BSBA MM 1B

San Beda College Alabang

College of Arts and Sciences

Department of Business Administration and Entrepreneurship

MARKETING MANAGEMENT

Study Guide for Asynchronous class

March 12, 2021

1. What is the role of marketing in a business organization? Give an example of an

organization and describe its marketing practices.

Marketing is the process of building relationships with prospects and customers. It

is a medium by which businesses create customer interest in their products or services.
Marketing is an umbrella term covering branding, PR, advertising, direct response,
promotions through multiple channels, loyalty, demand generation, etc. Simply put,
marketing is the strategy to get potential buyers interested in your products and/or
services.

Through marketing, your customers get to know the value of your products or
services and how they can be useful to them. Effective marketing strategies for small
business can revolutionize your business. So, whether you’re in the process of launching
a new business or already have one, having a strong brand marketing strategy in place is
extremely important.

A good marketing is no accident. One example that exemplify a good marketing

is the Starbucks. Starbucks is one of the most known coffeehouses in the industry. Its
marketing strategy does not include endorsing in the newspapers, advertisement on
televisions or bulletin boards. Some of their marketing strategy plan is the excellent
customer services, consistent brand, experience and quality-based differentiation.
 I, myself is into coffee. Most of my time way back before global pandemic
outbreak, you would see me in coffee shops. One thing that I noticed that differentiate the
Starbucks from other coffee houses is the ambience and customer services they offer. For
example, in Coffee project there are some franchises that baristas are not welcome. One
thing that I look into Starbucks is that when you order, they would always greet and smile
at you, way to boost up your mood and encourage you to keep coming back. I think
customer experience is also important in marketing. Also, Starbucks offers you premium
quality products.

2. What are the three key result areas in marketing?  How can you achieve each of the key
result areas?

Objective is a destination that you set out for yourself, your key results will tell you
whether you’re getting closer to that destination or not. Key results are, therefore, a sort of
feedback mechanism. The three key results areas are the Sales, profit and the market share.
A key result always needs to be measurable, therefore, a key result always needs to have a
number.

3. What are examples of brands and companies you like?  Why do you think you like them? 
What is a brand that you can’t stand?  Why not?

One of the key elements of McDonald’s global success is their uniformity. No matter
which country you visit, McDonald’s will grant the same quality, experience, and food.
Consumers rely on consistency and equal value regardless of the location and that is
exactly what McDonald’s provides them.

They also include cultural awareness. For example, in Thailand McDonald’s offers a
“Samurai Pork Burger,” unique to the area. In addition to their universal meals,
McDonald’s has added some customized offers in almost all of the countries they have
entered into, adjusting to the local desires of the consumers they serve.

Also, the Starbucks, I like their marketing strategy that every December there would be
an event wherein you’ll have to collect stickers by availing their drinks in order to have a
 free planner when you completed it with an inclusion of Starbucks card so it would make
their customer to keep on going back to their products.

Colour Pop is one of the most popular cosmetic brands that I used to love. But when they
had an issue with how they name their lipstick products, I boycotted it. They use to market
their products by using racist name. Their brand has come under fire because the darkest
shades in range have names like “Typo”, “Dume”, and “Yikes”, which most of the people
have negative connotations.

Also, Giorgi Armani designer brand for legal housewives and Versace for mistresses.
Lastly the brand Sunny co. They announced that there would be a free $65 worth of
swimsuit to everyone who repost and tag their promo photo within 24hours but
unfortunately, they didn’t project that there would be over 3,000 participants who would
participate the said event.

4. There are four marketing orientations:  Selling Orientation, Production Orientation,

Product Orientation and Marketing Orientation.  Describe each of the orientations and
give an example for each.

a. Selling Orientation

Selling concept is based on the premise that the customer won’t buy the
organization’s brand products or services without performing sales and promotional
activities at a large scale. Thus, businesses and companies carry-out promotional and
marketing activities to better known their product in the market. Business companies
that have selling concept belief that consumers won’t buy enough products and
services unless you persuade them to.

A good example of it is a company that practices the selling concept is life

insurances. A person won’t wake up and wanting to get an insurance. It is being
offered by agents. Companies persuade consumers on getting life insurance and
giving the benefits of it.
b. Production Orientation

Production concept is an idea that consumers will favor products that are available
and highly affordable. It is simple as earning profit by manufacturing products at a
mass scale.

A good example of it is an e-commerce company; Shopee. Shopee is a

marketplace wherein you can buy tons of product in a such a cheap price compare to
retailers that sells in malls. For Php 500 bill that you have you can buy a lot of
products in Shopee compare to malls that your 500-peso bill will only spend on one
product.

c. Product Orientation

Product concept is the process of evolving a product from time to time in order to
achieve satisfaction from customers. It is providing the best quality from a product to
a customer.

A good example is the Apple product. Apple is a well-known company for its
gadgets and technologies such as great Iphones. They started their Iphone invention
from Iphone 3g in 2009. In order for them to follow the product concept, they
evolved themselves from Iphone 3gs up to now Iphone 12promax, as a result, their
marketing plan is getting better and better throughout the years. One product that I
know that lost their brand in the industry is the Nokia. Nokia doesn’t follow the
product concept; they didn’t produce mobile phones that has touch screens when the
touch screen phones was introduced in the industry. Later on, they weren’t able to
cope up with the trend and lost their branding.

d. Marketing Orientation

Marketing Concept is the one that puts the customer at the core or every business
activity. It is also known as the “pull strategy”, meaning businesses are so powerful,
 customers will always return and buy more. In this concept, the profits are resulted
from the customer’s satisfaction.

A good example that practices the marketing concept in their businesses is the
Pepsi and Coca cola. These two brands are the most competing brands in the industry.
Coca Cola’s marketing strategy launches campaigns that involve attachment of
company’s values to practical emotions shown by the customer. While Pepsi is all
about displaying influencers. Pepsi has rich history in celebrity endorsement that
includes professional athletes and pop stars, now growing to be impacting bigger
audiences through collaborating with social media influencers.

5. Discuss the four strategies in the Ansoff’s Product – Market Expansion Grid.  Give an
example for each strategy.

Ansoff’s matrix is a strategic planning tool that provides a framework to help executive
senior managers and marketers diverse strategies for future growth. Ansoff describes four growth
alternatives for growing an organization in existing or new markets with existing or new
products. There are four quadrants in Ansoff’s Product-Market Expansion Grid.

a. Market Penetration

The organization tries to grow using its existing offers, products and
services in the existing markets. It can be achieved by selling more products or
services to established customers or finding new customers within existing
markets. To do that business can reduce the price of the product, create new
promotions, make minor improvements to their products or services.

b. Market Development

The Business tries to expand into new markets geographies countries

using its existing offers and also with minimal product or service development.
This can be done by targeting different customer segments, expanding sales on a
new platform, and approaching foreign markets.
 c. Product Development

A company tries to create new products and services and then targets them
at the existing markets to achieve growth.

d. Diversification

An organization tries to grow its market share by introducing new offering

in new markets. This is the riskiest strategy because both product and market
development are required.

6. What are the three generic strategies of Michael Porter?  Discuss each of the strategies.
Identify a business practice or story to illustrate the strategy.

a. Cost Leadership

This strategy generally consists of an organization attempting to gain a market

share by appealing to cost-conscious or cost-restricted customers or consumers.
Therefore, it is the aim of the organization to become the lowest-cost producer in
their chosen industry. Although any organization will aim to remove any unnecessary
costs, those employing this strategy prioritize lowering all overheads.

b. Differentiation

The general focus of differentiation-led organizations is to make their products

different or more attractive than any other within the industry to achieve a
competitive advantage. These organizations generally target larger markets and focus
on differentiation on a much wider scale within the industry than would a cost-led
company.
 c. Focus

The business focuses on one or more narrow market segments, get to know them
intimately, and pursues either cost leadership or differentiation within the target
segment.

McDonald’s primary generic strategy is cost leadership. In Porter’s model, this generic
strategy involves minimizing costs to offer products at low prices. As a low-cost provider,
McDonald’s offers products that are relatively cheaper compared to competitors like Arby’s.
However, the company also uses broad differentiation as a secondary or supporting generic
strategy. This secondary generic strategy involves developing the business and its products to
make them distinct from competitors. For example, through McCafé products, McDonald’s
applies the broad differentiation generic strategy.