Part 1 – Understanding Principles of Marketing
Task 1 – Definitions and Concept of Marketing
According to Philip Kotler, Marketing is a social and managerial process by which certain groups or individuals get what they need or want through the exchange of goods or services (Pride & Ferrell, 2011). Johnson, Schools, & Whittington (2002) believe marketing is the implementation of activities that can help a company to the goals it has set itself, and can anticipate the wishes of consumers and develop products or services fit for the market.
The Marketing is the activity performed in the trade. It is exchange or trade that applies when a person wants to buy a product and instead delivers a lot of money imposed. The marketing has been invented to meet the needs of the market in exchange for benefits for companies that use it to develop. This tool definitely is strictly necessary to achieve success in the markets. It is said that marketing is a social and managerial process that involved a group of people, with their concerns and needs. It needs a certain number of elements such as the organization, implementation and control for efficient development of activities (Lovelock, & Wright, 2002).
Task 2 – Marketing Process
The marketing process is defined as the logical path along which it is appropriate to make marketing decisions. It has two major phases: the analysis phase and cognitive during which the manager collects information about the market and business skills, and decision-making in its strategic and operational dimensions that begins with the choice of the market in which operate. It narrows the field with segmentation decisions and articulates the components of the positioning of the offer.
The marketing process enters its operational phase and management when deciding on individual variables qualifying offer to the market. The marketing process, therefore, is based on two mechanisms: the information system must provide the necessary measures regarding the conditions and the way in which the market environment evolves, and the evaluation system, reporting, and monitoring the effectiveness of marketing, without which companies would measure the actual achievement of the goals and objectives of market-oriented (Johnson, Schools, & Whittington, 2002).
Task 3 – Benefits in Becoming Marketing Oriented
Marketing orientation is what makes strategic decisions depend on the company's wants and needs of customers and prospects. The corporate culture of the company is consistently committed to creating value. The marketer hopes that this process, if done correctly, give the company a competitive advantage sustainable over time. The marketing oriented companies claim that a commercial mixture is adapted to meet the needs of a particular customer (Pride & Ferrell, 2011). There are many benefits in becoming marketing oriented company. Marketing oriented companies make possible the development of innovative products. These companies help increasing new product performance and success. There is a great benefit in becoming marketing oriented as it helps reducing uncertainty about potential market size.
Task 4 – Marketing Environment of Tesco
Product: Tesco's product isn't the bits and pieces on the shelves. It is the fact that the company sells everything from crumble to credits. Price: Tesco has very effective price policy. It has been fighting price wars. Place: Firstly, it was just in high street. Then it started expanding its business and opening new outlets and stores. Promotion: it has different promotion activities, like scheme naming “computers for schools”. It uses TV commercials, social media and other tools for promoting itself (Lovelock, & Wright, 2002).
i. Political Factors
Tesco has many political factors linked with it. There is a constant decline in local authority support for charity. There is a possibility of extraction earlier the modifications in a political control. No proper management in the charity plan is there. Tesco’s political factors have manipulated the rule of charity to a great extent (Wood, 2000).
ii. Economic Factors
There are many economic factors to affect the market of Tesco. These factors affect the potential purchasing power of customers. There is low deflation rate in economy, and this is regarded as good for the effectiveness and progress of the company. Another economic factor affecting Tesco is its unemployment rate, which is not low over there.