Professional Documents
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Tutor-marked Assignment 1
(TMA 1 15%)
Instructions:
4. The total marks for TMA 1 is 100 and this contributes 15%
towards the total grade of the course.
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Question 1
Question 2
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Marking Scheme for TMA 1
Question 1
Dramatic changes are occurring in the marketplace; there are four major
developments.
The technology boom had created exciting new ways to learn about
and track customers, and to create products and services tailored to
individual customer needs.
Technology is also helping companies to distribute products more
efficiently and effectively.
Its helping them to communicate with customers in large groups or
one-to-one.
Rapid Globalisation
Many marketers are now connected globally with their customers and
marketing partners.
Almost every company, large or small, is touched in some way by
global competition.
Companies are not only trying to sell more of their locally produced
goods in international markets, they are also buying more supplies and
components abroad.
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The Growth of Not-for-Profit Marketing
The factor that binds all these four trends and forces is relationships. In building
a profitable customer relationship, marketers nowadays must take advantage of
the technology, aware and be prepared for the globalisation and ensure that they
will not forgo ethics in pursuing sales and profits. (1
mark)
There are five alternative concepts under which organisations design and carry out
their marketing strategies.
The production concept holds that consumers will favour products that are easily
available and highly affordable. Management focuses on improving production
and distribution efficiency. This concept is one of the oldest orientations.
The product concept holds that consumers will favour products that offer the most
in quality, performance, and innovative features. Marketing strategy focuses on
making continuous product improvements.
The selling concept holds that consumers will not buy enough of the firms
products unless it undertakes a large-scale selling and promotion effort. This
concept is typically practiced with unsought goodsthose that buyers normally
do not think of buying. Most firms practice the selling concept when they face
overcapacity.
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The marketing concept holds that achieving organisational goals depends on
knowing the needs and wants of target markets and delivering the desired
satisfactions better than competitors do. This concept is customer centered.
The societal marketing concept holds that marketing strategy should deliver value
to customers in a way that maintains or improves both the consumers and the
societys well-being.
Question 2
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Mission needs to be turned into detailed supporting objectives for
each level in the organisation. Managers from each level should have
objectives and be responsible for reaching them. Mission must lead to
a hierarchy of objectives, including business and marketing
objectives. Marketing strategies must be developed to support these
marketing objectives. Each marketing strategy must then be defined
in greater detail.
Once your friend had classified its SBUs, he must determine what role
each will play in the future. One of four strategies can be pursued.
The company can invest more to build its share or invest just enough
to hold its share at current level. He also can harvest milking short-
term cash flow regardless the long term-effect. Or he can choose to
divest the SBU by selling it and use the resources elsewhere.
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ii) Developing Strategies for Growth and downsizing.
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