CASE SYUDY # 1
Submitted By :
Name: Sana Riaz
Registration # F1F14MBBA0004
Section: S1
Submitted To :
Sir Asab Mubeen
Submission Date :
21 November, 2014
DEDICATION:
We like to dedicate our work to our teacher Sir. Asad Mubeen and the
people, who helped us in our Case by extending our Knowledge in
Marketing.
A
CKNOWLEDGEMENT:
First of all, we are grateful Allah Al-mighty who gave us ability to
accomplish this project. The completion of this project is a matter of
pleasure for us but it was not possible without the support of our teacher, in
fact a mentor, Mr. Asad Mubeen , for he has provided us the useful
knowledge of subject of Strategic Marketing. So, we are thankful to our Sir
Asad Mubeen. We are thankful to our parents also who helped and
supported us.
WHAT ARE THE ADVANTAGES AND DISADVANTAGES OF
MARKETING PLAN? IS IT ESSENTIAL FOR COMPANIES?
DISCUSS.
MARKETING:
According to Kotler :
The task of creating, promoting and delivering goods and services to consumers
and businesses. In fact, marketing people are involved in marketing ten types of
entities: goods, services, experiences,
events,persons,places,properties,organizations,information and ideas.
According to Lancester :
Marketing basic concern is to satisfy the genuine needs and wants of specifically
defined target markets by creating product services that satisfy customer
requirements.
PLANNING:
Planning ensure that resources are utilized effectively and the businesses are
ready to respond to the unexpected.
MARKETING PLANNING:
According to Woods :
Marketing may be defined as the structures process of researching and analyzing
the marketing situation developing and documenting marketing objectives
strategies and programs and implementing, evaluating and controlling activities to
achieve the objectives.
ADVANTAGES OF MARKETING PLANNING:
1. Clear Objectives:
Marketing plan helps in defining the clear objectives for a company. As it is a
plan definitely it will follow a certain objective to be fulfilled. In short. Objectives
are defined on the basis of marketing plan.
2. Strategy Formulation:
It helps is strategy formaulation.Strategies are made for long term purpose. By
developing a marketing plan we can formulate strategy on its basis.
3. Evaluation of Company’s Performance:
It helps in evaluation of the company’s performance. As we defined everything in
our plan so in future we can evaluate the company’s performance with the desired
plan.
4. Working Document:
It acts like a working document which tells what to do next. Its like a proof of
doing all the activities we have to perform.
5. Guideline for Operations:
It gives directions and guidance for further operations. All the managers and
employees have to follow the said directions written in the plan.
6. Quality Decisions:
Quality decisions are taken on the basis of marketing plan. On the basis of
marketing plan, we can make better decision because we have analyzed the
environment, competitors and company’s own strengths and weaknesses. Due to
which we are in a better position to make quality decisions.
7. Awareness of Trends:
Company remains aware of the increasing trends in the market. It is due to the
PESTAL Analysis done for environmental scanning.
8. Identification of Needs:
Customers needs can be identified on its basis. Because all the major analysis are
done at this level to attract customers.
9. Awareness of Competitors:
Company is informed about new competitors in the market. To fulfill objectives
competitor’s analysis is important.
DISADVANTAGES OF MARKETING PLANNING :
Following are the disadvantages of marketing planning
1. Small Businesses
Owner of small businesses don’t consider it beneficial because all the planning,
strategies formulation and setting goals is the work of large organizations due to
which they don’t consider attractive.
2. Time Consuming:
People consider it time consuming because it takes a lot of time in PESTAL
analysis and analysis of competitors and making strategies. Instead of that they
prefer to do direct business and earn profit.
3. Flexible Businesses:
If a business remains flexible in its nature then marketing planning will become
hectic for such type of business and they will not prefer it any more.
4. Unbeneficial Project:
In case when project become unbeneficial marketing plan become useless because
all efforts will be in vain of preparing and managing the marketing plan.
5. Constant Change :
As the change is constant in the world , it may be possible that due to changes like
change in demands, trens, environmental changes, political changes our marketing
planning will be effected because it is done for long term purpose.
6. Identifies Weaknesses:
Due to overall planning and analyses , business weakneses are also identified
and shown to the public due to which compoetetors can take advantage of it.
Is Marketing Planning Essential for Company?
Yes, it is essential for companies to do marketing planning. Following are the reasons:
1. Proactive Approach:
Marketing Planning help companies to be proactive. Due to it they can survive in
the market by applying better strategies to retain the market share.
2. Targeted goals:
Companies define their goals on the basis on marketing planning and try to
achieve that targeted goals. It helps them to be specific.
3. Indication of Successful Plan:
By doing marketing planning, we are better in a position to analyze that whether
our plan will successful or nor in future.
4. Give answers to basic Questions:
It help in developing the e answers of basic questions like who will be our
customers, pricing strategy, distribution channel, competitors, advertisement
techniques etc.
5. Attain and Retain Customers:
It identifies customer needs, how to attain new customers and techniques to retain
customers. Basically it happen by doing PESTAL analysis which is done
marketing planning,
6. Stay Focused:
It help companies to stay focused on their objectives and goals which will
definitely lead to success because all efforts will be done to attain that specific
objective
7. Long Term Guidance:
Marketing Planning gives guidance for more periods. It helps companies to do
long term planning which ensures long term profit.
8. Defined Budget:
Marketing planning ensures specific budget allocation. It helps in defining the
budget needed to attain the results from the business.
9. Competition Patterns:
Marketing Planning helps in identifying the competitors in the market and the
techniques to attain comparative advantage over the competitors.
DEVELOP S SWOT ANALYSIS FOR UK MOBILE PHONE
MARKET.
Strenghths:
1. Large No. of Subscribers
2. High Speed Network
3. High of Purchasing Power
4. Acceptance of Technology
5. Major Cellular Companies:
Weaknesses:
1. Decline in Annual Growth
2. Market is Saturated
3. Advanced Handsets
4. Internet Shopping
6. Techonological Innovation
Threats:
Opportunities:
1. Broadband Services
1. Fixed Line Telephone
2. Threat of Substitute
2. Text Messaging Trend
3. Bad Relations with European
Countries
3. New Handsets
4. Increase in Disposable Income
4. Decrease in Private Investments
5. Decrease in Annual Population
Growth:
STRENGTHS:
1. Large No. of Subscribers
At UK mobile market, there are Large No. of Subscribers which are the
reason of successful mobile phone industry in UK.
2. High Speed Network:
Vodafone is providing high speed 2G network to its users. Due to which
number of subscribers are increasing day by day.
3. High of Purchasing Power
UK mobile market has high of Purchasing Power due to which it is always
easy for them to attract customers by launching different packages.
4. Acceptance of Technology:
UK mobile phone market is the one where innovative and technological
products are readily accepted. It gives them ease to introduce more innovative
mobile sets.
5. Major Cellular Companies:
Major Cellular Companies like Vodafone, Orange, T – Mobile and O2 are in UK
which are a great source of revenue for UK Economy.
WEAKNESS:
1. Decline in Annual Growth:
UK mobile phone market has been almost saturated due to which annual
growth is declining in 2001.
2. Market is Saturated:
UK mobile phone market have been saturated and it need to make more
innovations to remain stable.
3. Advanced Handsets:
Prices of advanced handsets are low due to which Vodafone’s profit is
affected. They have not yet launched any type of such product but competitors
have taken advantage of it.
4. Internet Shopping:
Trend of Internet shopping is increasing day by day. But in UK, all the major companies
are focusing of opening retail shops.
OPPORTUNITIES
1. Fixed Line Telephone:
The customers trends are increasing and the companies who are in fixed line
business are generating revenues. It can become an opportunity for Vodafone
to extend its business because it is already a developed company and by
introducing it they can capture more market share.
2. Text Messaging Trend:
MMS trend can give the mobile phone industry boost because it is proved to
be inexpensive, fast and easy mean of communication.
3. New Handsets:
Companies are earning huge revenues from advanced handsets. Vodafone
have an opportunity to launch handsets because it has technology power and
already maximum subscribers in UK.
4. Increase in Disposable Income:
Household Disposable Income is increasing day by day. Due to which it may
attract many companies to invest here.
THREATS:
1. Broadband Services:
Broadband Service is getting popular as it is free of cost to remain in contact
with each other. It also saves time of people as they don’t need to go out for
shopping. Everything is a hand away from them.
2. Threat of Substitute:
Fixed line telephone system is becoming more common due to less rental
charges. It may affect their business at high level.
3. Bad Relations with European Countries:
UK have not good relation with the European countries due to war in Iraq. It
may affect its strategy of globalization in future.
4. Decrease in Private Investments:
Private Investments and Net Exports are decreasing which may have a
negative impact on the growing industry.
5. Decrease in Annual Population Growth:
UK’s annual population growth is slow.It will be a threat for the Industries
because labor is the most important power among all.
DEVELOP VODAFONE’S OBJECTIVES, STRATEGY AND
TACTICS FOR THE FOLLOWING 2 YEARS.
OBJECTIVES:
Maximum
Market
Share
Global
Level
Business
Customer
Focused
/Retention
1. Global Level Business:
The main objective of Vodafone is to serve at Global Level. It is the largest
mobile phone operator around the world and its vision is to grow at global level
by serving them the best.
2. Maximum Market Share:
Vodafone wants to capture the maximum market share. With the growing
competition, Vodafone want to have to share in the market so that it remains
competitive in the future.
3. Customer Focused:
Vodafone make technological innovations so that it may retain its existing
customers. Its all services all purely related to customers satisfaction.
STRATEGIES:
Continuous
Expansion
Acquisitions
Separate
service
providers.
1. Continuous Expansion
Vodafone’s main strategy is Continuous Expansion. They are developing their
business at global level and moving towards gaining maximum share.
2. Acquisitions
Vodafone have gone through many acquisitions with other companies. This
strategy was adopted to expand its business worldwide.
3. Separate service providers.
Vodafone market their service through separate service providers. It enables them
to run t heir business efficiently by focusing on each part.
TACTICS:
Launch Vodafone
Live service:
3G Licensing:
Nectar
customer
loyalty scheme:
1. Launch Vodafone Live service:
To gain maximum market share , Vodafone launch Vodafone Live service. This
service will allow customers to send and receive photos and emails and play
electronic games.
2. Nectar customer loyalty scheme:
Vodafone also start its Nectar customer loyalty scheme. It is a tactic to retain
customers and help them to attract new ones.
3. 3G Licensing:
Got License of 3G network which is a fastest internet service available in the
market.