17. The Marketing Mix, Management Analyses

13. května 2009 v 15:32 |  AJ


1. Marketing Mix
2. Advertisements and commercials
3. Management Analyses

1. Marketing Mix

Marketing involves: a) finding out which goods and services people want
b) providing them
c) pricing them
d) promotion and advertising them
e) distributing them to the final consumer

The aim of good marketing is that firms should find out which goods and services people want. So market research (průzkum) finds out what it is. It involves collecting and analysing information about products on market.

It is information about consumer's age, sex, income (příjmech), jobs, likes and dislikes, where they live, which newspaper they read or when they watch television.

The main activities (points) of the marketing are known as the 4P´s:
The 4P´s together are known as the marketing mix.

Business strategy:
7P´s includes price, place, product, promotion, physical planning (evidence), process and people.

Before we start with business, we must find out which product or services people want. A total product includes the image of the product.
There are many ways to price a product. Price must be attractive to customers. We must the cost of production and provide a profit for the firm.

Place is also known as channel, distribution. Place involves choosing the channels of distribution goods and services. Products may go through various channels of distribution:
a) producer - end users
b) producer - retailers (maloobchodníci)- end users
c) producer - wholesalers - reatilers - end users
d) producer - market - wholesalers - reatilers - end users
e) producer - mail-order houses - end users

Promotion is presenting the product to the customers. (Promotion is advertising, public relations, publicity and personal selling.)

There are many types of promotion: advertising on TV or radio, newspaper, leaflets, mails, phone, brochures, packaging the goods, showrooms. We can use free samples or special offers like stands at trade fairs and exhibitions, on sports sponsorship.

Promoting a product doesn't involve advertising, It involves considering it as a Total Product: its brand name, presentation, labeling and after- sales service. A service is also a product and customers must be made aware of what is being offered.

2. Advertisements and commercials

When promoting a product, you must develop a Unique Selling Proposition (USP). It means the FEATURES (rysy) and BENEFITS (výhody) of your goods or services. It is one way how to differ between other products.

There are four stages in promoting a product (AIDA):

1 attract the ATTENTION of potential customers
2 arouse (zvyšte) INTEREST in the product
3 create a DESIRE for its benefits
4 encourage (povzbudit) customers to take prompt ACTION

The ad (advertisememt) is very old way how to let the consumer know about certain goods. In old days the ways of promoting the products were a few. A man could just stand in the market and shout something like: " Very nice apples, pears, come and buy". If a consumer was interested in he came and bought it.

The first newspaper printed ad appeared in the 17th in England. In these ads the main subject was books and medicines. The brand names appeared after the Industrial revolution in the 19th century. Today the commercials are more and more seen and heard thru screens of TV and monitors (when we are connect with internet) and speakers of radios. The ads are big business now, companies invest more and more money and even the product which is more or less useful or unuseful is sold. On TV a consumer can see the advertised product, hear the commentary and listen to some music. All of these aspect are very important when "selling" the product.

The aim of people who creates the commercials is to make you believe that this product must be very good. And when you stroll through supermarkets and see the advertised product, you certainly remember the commercial and buy it. People created methods how to make the other people buy the things they would probably never bought.

3. Management Analyses

The Boston Consulting Group (BCG) is a global management consulting firm, founded by Bruce Henderson in 1963. In the 1970s, BCG created and popularized the "growth-share matrix", a simple chart (diagram) to assist large corporations in deciding how to allocate (přidělit) cash among (mezi) their business units (jednotka). The corporation would categorize its business units as "Question Marks", "Stars", "Cash Cows", and "Death Dogs", and then allocate cash accordingly (podle toho), moving money from "question marks" toward "stars" and "cash cows" that had higher market growth rates, and hence higher upside potential.

Branch analysis:

Michael Porter's famous Five Forces of Competitive Position model provides a simple perspective for assessing (zhodnocení) and analysing the competitive strength and position of a corporation or business organization.

This is branch analysis or Porter's five factor of Rivalry among competitors.

Threat entry of new competitors= hrozby vstupu nových konkurentů
Bargaining power of suppliers= vyjednávací síla dodavatelů
Bargaining power of customers= vyjednávací síla zákazníků
Rivalry among competitors= konkurenční prostředí
Threat of substitutes= hrozba substitutů

SWOT analysis:

The SWOT analysis is an extremely useful tool for understanding and decision-making for all sorts of situations in business and organizations. SWOT is an acronym (zkratka) for Strengths, Weaknesses, Opportunities, Threats. The SWOT analysis headings provide a good framework (system) for reviewing (hodnotící) strategy, position and direction (pokyny) of a company or business proposition (návrhy), or any other idea. You can use this analysis for business planning, marketing, business and product developments. Here are some examples of what a SWOT analysis can be used to assess (hodnocení): a company (its position in the market), a method of sales distributions, a product or brand, a business idea, a potential partnership, changing a supplier, outsourcing a service… Be sure that you describe the subject for the SWOT analysis clearly. The SWOT analysis is the definite (finished) analysis.


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