P1Ferrariroad cars are generally perceived as a symbol of speed, luxury and wealth. Theyare very expensive and only bought by the rich.
The Ferrari is a powerful brandbecause of the rich colours expensive style, price and speed. They arerecognizable around the world as extravagance. Market Penetration:The strategy of price Adjustment is one of the mostwidely used market penetration tactics. By lowering a product or service pricecan increase the sales. Furthermore, companies must look their competitorsprice because it can affect the sales. Price Adjustment will affect Ferrari ina huge scale because their products are very expensive. Market Development:Market Development strategy is used to develop theexisting market rather than develop a new one. Ferrari don’t need to look fornew market they just have to build more powerful car with innovative technologyimpeded in them.
Diversification:This strategy for companies who wants to enter newmarket where they could make more profits but it’s very risky because othercompany in that market will be well known to the world and the company has noexperience in the new market. Companies like Ferrari won’t be affected by thisstrategy much because of their reputation and the profits they make through othermarket. SurvivalStrategies:Companies like Ferrari don’t really use this strategybecause they are well known to the world and big. But sometime successfulbusiness struggle during financial crises.Branding:Branding is very important every business becausepeople will forget if companies don’t have good logo, slogan and a name. The Ferrari logo colours represent the famous symbolof the Ferrari race team. The colours red, white and green represent theItalian national flag, because Ferrari Company headquarters are in Maranello(Italy).
The letters ‘S’ and ‘F’ stand for ‘Scuderia Ferrari.’ The word’Scuderia’ means ‘stable’ in Italian language. It has entered English usagemainly through professional racing, in which many Italian teams incorporate theterm in their names. They use these colours because they are proud and want topromote their country. They also use the horse symbol to represent how cars areas fast as horses. Another reason why they use a horse is because cars aremeasured in horse power. The stallion might be used to show that they are thebest.Relationship marketing:Companies should have good relationship with theircustomers because it’s hard to gain new customers but it’s easy to lose.
Companies should satisfy customers, rather than focusing on making money. Samsung is a company and a brandwhich sells electrics devices such as TV, Mobile, Laptop, etc.The customerperceives the brand as reliable and good value for money. The product is highquality it is made with the most expensive and durable plastic. Its processoris really fast especially on the Samsung galaxy phones. Market Penetration:The strategy of price Adjustment is one of the mostwidely used market penetration tactics. By lowering a product or service pricecan increase the sales. Furthermore, Samsung must look their competitors pricebecause it can affect the sales.
Price adjustment won’t affect Samsung in hugelevel because they sell hundreds of different products, but it will help them. Market Development:Market Development strategy is used to develop theexisting market rather than develop a new one. Samsung is already covering allof the technology and some of the household markets so they don’t need to lookfor a new market instead they should build new products with more advancedfeatures. They can also enter into a new market but it will involve moreinvestment and risk.Diversification:This strategy for companies who wants to enter into anew market where they could make more profits but it’s very risky because othercompany in that market will be well known to the world. For company likeSamsung is very easy to enter into a new market because of the profit theymake.
If Samsung wants to make huge profit in a new market they need a uniqueidea which should dominate the competitors in the markets. Even if they losemoney in the new market they won’t be affected.Survival Strategies:Company like Samsung don’t really use this strategybecause they are well known to the world and they make huge profit.Branding: They use thename as part of their brand in a blue background. This emphasizes flexibilityand simplicity.
The name is set in a blue oval shape background. This is torepresent the universe and that it is a global organization, which has beenslightly tilted to symbolize innovation. The colour blue is also used toconnote stability and reliability within the company. Samsung is a globalleader in screen technology, TV, batteries and chip design. Today Samsung hasgrown to become one of the world’s leading electronic companies, specializingin digital appliances and media. Samsung’s innovative and top-quality productsand processes are world recognized. Samsung add more valuable products tocreate smartphones.
They make the products with expensive things. Relationship marketing:Relationship marketing is very important because theyare many competitors who sales the same products so companies like Samsung mustkeep a good relationship with customers. Samsung should consider customers morethan the money. P2:Limitation and constraints of marketing Sales of goods act 1979:Require business to sell products as described and of asatisfactory quality, for example a business can’t sell an iPhone as a Samsungphones also the products have to be new and untouched if advertised as newproduct. It is important to ensure that businesses are not cheating thecustomers and consumers.
the aim of this act is to stop people from using theirpower to lie to the customers. Consumers protection from unfair trading regulations 2008:This act is there to stop companies from pushing other peopleto buy something that they don’t want to buy or sales products by lying to thecustomers. This act is important, so businesses won’t push people into spendingtheir where they don’t want to spend or thinking they are helping by spendingtheir money. Consumer Credit acts 1974 and 2006:Business must have a licence if they want to sell products oncredits or loans. This act has certain for the businesses to follow such as,they must update their customers about their account and update them on theirpayments every month. This act protects customers from going into large billfrom the company. This act stops businesses from taking advantage of thecustomers. The will prevent people from getting into huge debt.
Consumer Protection (Distance selling) Regulations 2000:This act is about selling products online. The regulationrequires business to provide information that is clear and brief, so customerscan decide on whether they want to buy the product or not. This will protectpeople from buying products from online business which is not reliable. Data Protection Act 1998:This act protects people’s personal information from beingused without their consent or from sold to other businesses. Business mustfollow certain rules like they should tell the customers why this information’sare being collected, and what will happen to the information after ordercompleted or after an account has been closed.
Businesses must keep theircustomer’s information in a highly encrypted place. Advertising Standard Authority (ASA):Companies can’t advertise what every they want everyadvertising material must meet the British Code of Advertising. The Ferrari logo colours represent thefamous symbol of the Ferrari race team. The colours red, white and greenrepresent the Italian national flag, because Ferrari Company headquarters arein Maranello (Italy). The letters ‘S’ and ‘F’ stand for ‘Scuderia Ferrari.’ Theword ‘Scuderia’ means ‘stable’ in Italian language. It has entered Englishusage mainly through professional racing, in which many Italian teams incorporatethe term in their names.
They use these colours because they are proud and wantto promote their country. They also use the horse symbol to represent how carsare as fast as horses. Another reason why they use a horse is because cars aremeasured in horse power. The stallion might be used to show that they are thebest.Ferrari road cars are generallyperceived as a symbol of speed, luxury and wealth. They are seen as veryexpensive and only bought by the rich.The brand personality is one ofluxury and of being part of a small group who are mega rich. It is also seen asa dream car that people wish they could have.
It is seen as classic, strong andsporty.The Ferrari is seen as a powerfulbrand because of the rich colours expensive style, price and speed. They arerecognizable around the world as extravagance. P3 –Describe how a selected organisation uses marketing research to contribute tothe development of its marketing plans. What is market research?Market research helps businesses to understand the market forthe products they want to sell. For examples, Samsung wanted to promote theirnew phone would want to know their market, targeted audience, what featurespeople want in the new phone, can they afford the product and so on. This helpSamsung to make the right product that people are willing to buy, by doingmarket research Samsung can make lot of profit than loss. Primary research:Primary research is freshly done which mean Samsung will goto people directly and learn what they want.
Primary research can be done in lot of ways such as interviews, surveys,questionnaires, focus groups. Secondary Research:Secondary Research is different from primary because hereSamsung won’t be doing fresh research instead they will be using previouslycollected data for example they will be seeing what went well on their previousproduct or what went wrong, this will help Samsung to understand what peoplewant in a smart phone. Both primary and secondary have their limitations and useslike these researches will help them see if their doing better than the othercompetitors. Using the collected data, they can make phone most will love butnot all of them because Samsung can’t go every single people on earth, even ifthey somehow manage to ask everyone on earth, they can’t make a phone with allof things everyone wants.
QualitativeInformation:Qualitative Research is primarily exploratory research. It isused to gain an understanding of underlying reasons, opinions, and motivations.It provides insights into the problem or helps to develop ideas or hypothesesfor potential quantitative research.
Qualitative Research is also used touncover trends in thought and opinions, and dive deeper into the problem.Qualitative data collection methods vary using unstructured or semi-structuredtechniques. Some common methods include focus groups (group discussions),individual interviews, and participation/observations. The sample size istypically small, and respondents are selected to fulfil a given quota. QuantitativeResearchQuantitative Research is used to quantify the problem by wayof generating numerical data or data that can be transformed into usablestatistics. It is used to quantify attitudes, opinions, behaviours, and otherdefined variables – and generalize results from a larger sample population.Quantitative Research uses measurable data to formulate facts and uncoverpatterns in research.
Quantitative data collection methods are much morestructured than Qualitative data collection methods. Quantitative datacollection methods include various forms of surveys – online surveys, papersurveys, mobile surveys and kiosk surveys, face-to-face interviews, telephoneinterviews, longitudinal studies, website interceptors, online polls, andsystematic observations. https://www.snapsurveys.com/blog/qualitative-vs-quantitative-research/ P4:SamsungPESTLE Analysis, which is sometimes referred as PESTanalysis, is a concept in marketing principles. This concept is used bycompanies to track the environment they are operating in or planning to launcha new project/product/service etc.
PESTLE stands for:P-PoliticalE-EconomicS-SocialT-TechnologicalE-EnvironmentalL-LegalPOLITICAL:This is all about how much government intervenes in theeconomy. This include – government policy, political stability or instabilityin overseas markets, foreign trade policy, tax policy, labour law,environmental law, trade restrictions and so on. These factors are determinants of an economy’s performancethat directly impacts a company and have resonating long term effects. Forexample a rise in the inflation rate of any economy would affect the waycompanies’ price their products and services.
Adding to that, it would affectthe purchasing power of a consumer and change demand/supply models for thateconomy. Economic factors include inflation rate, interest rates, foreignexchange rates, economic growth patterns etc. It also accounts for the FDI(foreign direct investment) depending on certain specific industries who’reundergoing this analysis. Economic:Economic factors impact in a vast level on how anorganisation does business and also how profitable they are. Factors include –economic growth, interest rate, exchange rates, inflation and so on.
Forexample, a rise I the inflation rate of any economy would affect the waycompany’s products price and service. Social:Social also known as socio-cultural factor, social factorsrelated to the cultural aspect and belief of people. These factors include – population growth,age, health, career and so on. Technological:Technologies are evolving after than ever before so itaffects business in a same rate. With new technologies business can make newproducts faster and in a cheaper labour cost.
Also it will help business todistribute products in a new way and new way to communicate with the targetedmarket. Environmental:This factors have only come to the front in the last fifteenyears or so. Because of pollution, materials. they are lot of issues businessesare facing within this factor. Business will be affect if fuel price went downor up.
Samsung will be affect when are couldn’t find materials to make theirproducts.Legal factors include – health and safety, equalopportunities, advertising standards, consumer rights and laws, productlabelling and product safety. It is clear that companies need to know what isand what is not legal in order to trade successfully.
If an organisation tradesglobally this becomes a very tricky area to get right as each country has itsown set of rules and regulations.Legal: Legal factors include health and safety, equalopportunities, advertising, consumer rights and laws so on. It is important forSamsung to know what is legal and illegal in order to trade successfully. Itbecomes trickier for Samsung they trade globally so they would have to knowabout every country SWOT Analysis:Strengths:It is very important for Samsung to understand its strength,if they don’t know their strength they can’t improve their weakness.
Weaknesses:Samsung should know their weaknesses because weaknesses haveto be fixed very quickly or competitors will take Samsung weakness as astrength and advantage. If Samsung couldn’t fix their weaknesses in time theywill lose lot of profit, of not the company.Opportunities:Samsung should know every opportunity as soon as possible sothey can use the opportunities if they couldn’t use it in time, competitorswill take it. Opportunity is not something you can find very often so it isbest for Samsung to use every opportunity quickly.Threats:It is important for every business to understand theirthreats but it’s very important for Samsung because they have lot ofcompetitors. Samsung must learn their threats and they should everything theycan to stop or outsmart the threats.
Threats can come from anywhere and anyform so it important to understand competitors and other business which mightbe interested in Samsung, threats don’t just come from competitors it can comefrom anyone. SMART Analysis:Specific:It is important to set a specific target because without anytarget company won’t move forward and targets should very clear. Samsung mustknow what they want, like they want to increase their sales of revenue. Measurable:Measurable is very important because it help Samsung to knowwhat have been achieved and what they have to do next. E.g.
increase sales ofrevenue by 10% by 2020.Achievable:Using Achievable Samsung can identify if they can sell a newproduct they made. People won’t like every single product Samsung make so toavoid lose Samsung has to know if the product has any value in the marketbefore they do massive production.Realistic:Using realistic Samsung can identify if they can make a newproduct with the current resource.
Also they will know if is it possible forthem to make a new product or not.Time: Time is a very important thing for any business, it is veryimportant for Samsung because people only want new products with new featureSamsung have lot competitors so it is important for Samsung to make new phonethat is not in the market currently and they must do it before other do it.E.
g. they must make a new phone is 12 months. P5 Segmentation:Marketsegmentation is the process of separating a whole market into differentcustomer’s segments.
Marketing segmentation always come before targeting, whichhelp the company be more selective about who they are marketing their productto. Marketing segmentation and targeting equally important for ensuring overallsuccess of the company. B2C and B2B: B2C, stand forBusiness-To-Consumer, this is where business sell products or service directlyto the consumers. B2B, stands for Business-to-Business, this is where businesssell products or services to other business. Samsung is an electronic company and a brand which sells electronic devicessuch as televisions, phones, laptops etc.
They use the name as part of their brand in a blue background. Thisemphasizes flexibility and simplicity. The name is set in a blue oval shapebackground. This is to represent the universe and that it is a globalorganization, which has been slightly tilted to symbolize innovation. Thecolour blue is also used to connote stability and reliability within thecompany. The customer perceives the brand as reliable and good value for money. The product is high quality it ismade with the most expensive and durable plastic.
Its processor is really fastespecially on the Samsung galaxy phones. The Samsung Company aim is to make thephone for over 18 years old because the features are more advanced. B2C: Students:Students are on ofSamsung primary B2C group because most of Samsung products are intended foryoung people so it is bets for Samsung to target younger generation. Samsungspecially market their smart phones to Students because every student need aphone to communicate, Samsung knows that almost of their smart phones are beingbought by younger people. Newly Wed:Newly Wed peoplewill be buying lot of staff at the same time, so Samsung market product forthis group in a different way because Samsung make almost all of the homeequipment such as, fridge, washing machine, TV etc. Samsung provide this groupmultiple financial option to pay. Children:Samsung make fewproducts for children specifically technology based product such as tablet.Children market is different from others because most of the time children getwhat they want.
Samsung market their products directly at children then theparents because parents most of the time will ignore the product. Office workers:Workers are one ofthe biggest market for Samsung because most their products are intended forworkers such as Smart watch, Laptop, Phone etc. So Samsung market their productdirectly at office workers. It is easy for Samsung to advertise their products tooffice workers. B2B:Samsung:Samsung makemobile component for other companies such as apple. In 2017 apple releasedtheir IPhone X expensive phone apple ever made or sold. IPhone X was priced at£999 because of the OLED Display which was made by Samsung, this is theexpensive component in any phone. Apple buys this component in bulk so Samsungsell this for a cheaper price.
This way Samsung can make lot of money becauseapple one of the top tech company like Samsung so Samsung reach more people byproviding their products to other companies. Mobile Network:Samsung sell their phone to mobilenetwork providers because they access to multiple countries and most of thepeople buy their phones from mobile network providers them Samsung because ofthe service they provide so it is best for Samsung to sell their products forthem. Also Samsung don’t have store in every countries and cities in the worldso this is the best way to sell their products all over the world.
http://smallbusiness.chron.com/define-market-segmentation-targeting-3253.html P6:Introduce the marketing mix.
The marketing mix is a strategywhich companies use to effectively promote and sell their products. Themarketing mix consists of the four PS: Product, Price, Place, Promotion The product Samsung Galaxy S5 has different features such as the camerahas evolved to give clearer, faster snaps. The fitness-tracking capabilities onthe phone have a powerful S Health app with a dedicated heart rate monitor onthe rear. A fingerprint scanner adds to its being the most secure Galaxy phoneever made.
The benefits of this phone are many apps andvery secure. Introduce anddefine the second p. priceThe price affects the brandpersonality and customer perception of the product. The main things which acompany must consider are competitors and customer perception. For example,when a company wants to sell their product they want to compare the productwith other companies prices.
This because the customer perception of theproduct affect the amount they will pay for it. Introduce anddefine the third p- placePlace is important when trying tosell your product, for example you need to show your product at its best. Samsungdon’t have their own store they sell their products in online or within anotherstore. The company is responsible for the product from the factory until itreaches the customer this is called the chain of distribution. Introduce anddefine the fourth p-promotion Companies need to promote theirproduct because they need to plan their strategies in order to inform potentialbuyers about the good features of their products. A good promotional campaignwillAttract Attention – getting the customers to know abouttheir products.
Relay Information – letthe buyers know about the unique features of the product. Create Desire – to create a marketing campaign which awakenstheir interest in the product, to persuade them to buy it.Lead to an Action – to makethe buyers to actually go online or to the store and pay for the product.When I see the poster the first thing I see is the colourthis draws me in to the name of the product.The watch is a benefit as it is new technology which hashealth benefits which will give the impression of a sporty person. The posterbuilds up a desire to purchase the watch as part of the package. The watch has the added bonus to make it more desirable is itvoice control and has been seen used by professional footballers to give it theexpensive and unique desire needed to sell it.
The action is the customers to buy the phone and the watchfor Samsung not from another company.