Distinguish clearly between a Marketing Strategy and a Marketing Mix. Use an Example to illustrate the concepts.
Marketing Strategy: According to Lamb, Hair, and McDaniel in Principles of Marketing, Marketing Strategy is “The activities of selecting and describing one or more target markets and developing and maintaining a marketing mix that will produce mutually satisfying exchanges with target markets.”(Lamb, Hair, & McDaniel, 2017). The marketing strategy focuses on providing a profitable product or service to a customer knowing that the same customer is being incited by competitors. To standout against competition, the company needs to frequently check on competitors price and quality of the product or service then make a decision on how to attract customers.
For example: The marketing strategy for the fast food chain Mc Donald’s includes the promotion of their product(mainly food and beverage products). They take into account that if they offer a comparable product(food) at a lower price they will survive against strong competition. This fast food chain uses the 4Ps of the marketing mix to market their products effectively.
Marketing Mix: According to Lamb, Hair, and McDaniel in Principles of Marketing, Marketing Mix is “a unique blend of product, place(distribution), promotion, and pricing strategies designed to produce mutually satisfying exchanges with a target market.” (Lamb et al., 2017). Marketing Mix can be considered as the components the company needs to satisfy the targeted audience. The components are usually known as the 4ps: Product, Promotion, Place, and Price. These components are essential for marketing a product or service.
For example: The marketing mix for Mc Donald’s are the 4 Ps:
Product: They offer food and beverage products.
Place: Restaurants, Kiosks, and Mobile app.
Promotion: Advertisement for example televised commercials, sales, and direct selling.
Price: The company offers meals for a discount, this is called price bundling. They also use psychological pricing, they often use $_.99 instead of rounding it to the nearest dollar.
What are the social and ethical issues a company should consider when entering a foreign market?
At the point when organizations work in their home markets, a large portion of their representatives originate from regions with a similar basic culture. Their home market clients share the social and moral gauges of organization staff and administration to a huge degree. This is particularly valid for independent companies that frequently work from just a single area. At the point when these organizations enter a remote market, the vast majority of their clients originate from a culture that may have totally unique qualities. The organization regularly needs to pick the degree to which it will regard remote market homes while it keeps up a center of moral and social qualities on which it declines to trade off.
Organizations entering an foreign market commonly build up some neighborhood tasks there. Typical practices in the remote market may incorporate exercises that would be viewed as unethical or unlawful at home. Organizations need to choose whether to give safe working conditions, pay living wages, restrain ecological effects and hold fast to authoritative conditions when nearby organizations may not keep up such guidelines. Independent ventures may battle with trading off on such issues when the benefit of their outside tasks is in question.
In numerous societies, tolerating endowments, commissions or supports for giving contacts or business focal points is typical and anticipated. Authorities in a few nations may ask for bigger totals for impacting choices or permitting illicit exercises. American law does not enable American organizations to pay fixes. Organizations need to set point by point approaches in regards to what is allowable and authorize their rules to keep away from illicit activities.
Organizations have a specific measure of capacity to impact social orders through promoting, and they have moral and societal duties to utilize such advertising power decidedly. Private ventures that go about as deals channels for bigger organizations may find that their provider’s publicizing does not meet their own moral models. They might not have much effect on the bigger organization’s practices and need to choose whether to proceed in the relationship
In numerous foreign business sectors, organizations need to address free-discourse issues as far as their own particular opportunity of articulation, that of their workers and that of their real and potential clients. Nations may force legitimate authorizes on organizations and people participating in prohibited interchanges. Western organizations that esteem free discourse need to choose whether they wish to work in such a domain.
Movement in an outside market may give a business access to a low-assess ward that gives organizations a chance to abstain from paying expenses by the utilization of exchange evaluating. In such a procedure, the organization’s activities in the low-charge purview exchange high expenses back to the home office while holding income locally. The remote element pronounces a high coming about benefit and pays low assessments. The home office pronounces a low benefit because of the high expenses. Such exchange evaluating is here and there illicit and more often than not morally flawed. Organizations need to choose how to appropriate expenses and incomes between their home and remote tasks remembering these legitimate and moral difficulties.