MARK804 Principles of Marketing Assignment Sample

MARK804 Principles of Marketing

Marketing – Assignment Writing

Directions To Students

All 4 mini-report questions are to be answered. Referencing is mandatory after each question. Word Limit: 600-700 words per question.

Each question is worth 25 marks for a total of 100 marks. You need to provide references wherever necessary. You need to have both in-text references right where you have used the source and a comprehensive reference list at the end of each answer and use theory wherever necessary. Please begin submitting your answers ONE hour prior to the cut- off time to ensure a successful submission. This assessment is worth 40% of the total marks in this subject. To pass this subject, you must complete all assessment tasks for this subject, achieve a total mark of 50% or over and obtain a minimum of 50% in the final assessment.

Please remember that this final assessment is considered to be your final exam. This means that we will not answer any question directly related to this assessment after the questions are released. No extensions will be granted. If you submit an academic consideration, you will receive a Withheld mark on your final marks and if approved, be offered a supplementary assessment

Question 1 (please feel free to tweak the space if it is needed) (Total: 25 marks)

Answer:

1. (15 marks)
2. (5 marks)
3. (5 marks)

Question 2 (please feel free to tweak the space if it is needed) (Total: 25 marks)

Answer:

1. Element 1 (5 marks)
2. Element 2 (5 marks)
3. Element 3 (5 marks)
4. Element 4 (5 marks)
5. Element 5 (5 marks)

Question 3 (please feel free to tweak the space if it is needed) (Total: 25 marks)

Answer:

1. (5 marks)
2. (10 marks)
3. (10 marks)

Question 4 (please feel free to tweak the space if it is needed) (Total: 25 marks)

1. (6 marks)
2. (12 marks)
3. (7 marks)

Solution

Question 1 

Answer: 

1. Desigual, to establish a more robust Australian clothing market can use the four market segmentation approaches such as demographic, geographic, psychographic, and behavioural.

Demographic Segmentation is defined as the market segmentation strategy that divides the population into smaller groups depending on the demographic traits, such as gender, age, income, occupation, schooling, family size, and race (Ose et al., 2021). As per the MBA Assignment Expert, The strategy assumes that people from similar demographic groups share needs, interests, and purchasing behaviours. Demographic segmentation can be used to identify the youth and fashion-conscious segment. 
Geographic segmentation is that market segmentation strategy which divides a market based on geographic location, such as country, region, city, climate, and population, to better target customers with specific needs and preferences (Taraoktavia and Indarwati, 2021). Geographic segmentation is related to the beachwear and casual clothing segment, which includes consumers living or visiting the coastal areas of Australia interested in beachwear and casual clothing.

Psychographic segmentation is a market segmentation strategy based on the consumers' attitudes, lifestyles, values, and traits (Gajanova, Nadanyiova and Moravcikova, 2019).

Table 1: Segmentation
(Source: Created by Author)

2. The beachwear and casual clothing segment will be the target market. It will be the most suitable market for Desigual to target because Australia’s coastal areas like Sydney are popular tourist destinations, and the demand for beach wear is high. Additionally, the segment is known to be environmentally conscious, which aligns with Desigual’s values of sustainability (Usman, Lizam and Adekunle, 2020). It presents an opportunity for Desigual to effectively market its sustainable clothing line to the segment. Desigual’s collection of comfortable, colorful, casual apparel is in accordance with the segment’s tastes and demands. Desigual could improve its market share and forge a significant position in the Australian clothing industry by focusing on the beachwear and casual clothing category.

Table 2: Buyer Persona
(Source: Created by Author)

The beachwear and casual clothing segment represent people who live near the coast and embody a particular lifestyle, values, and behaviours (Mazza, 2022). The people here are often active, health-conscious, and environmentally aware. They enjoy outdoors, engaging in water sports, and maintaining a healthy lifestyle. The people also priortise sustainability, social responsibility, and community involvement. 

Charlotte shares these traits and characteristics in the beachwear and casual clothing segment. She is likely to resonate with Desigual's brand image, known for its bold, colorful, and unconventional designs. Given her values and beliefs, the brand's focus on sustainability and social responsibility may also appeal to Sarah. By targeting Charlotte and other individuals who align with the beachwear and casual segment, Desigual can effectively reach its desired audience and build a loyal customer base. Through targeted marketing campaigns and personalized messaging, the brand can establish a deeper connection with this group and create a sense of community around its products. Increased customer loyalty, recurring business, and favourable word-of-mouth recommendations result from it. Ultimately, by targeting buyers like Charlotte, Desigual can enhance its brand reputation and drive sustainable growth.

References:

Gajanova, L., Nadanyiova, M. and Moravcikova, D (2019) ‘The use of demographic and psychographic segmentation to creating marketing strategy of brand loyalty.’ Scientific annals of economics and business, 66(1), pp.65-84. Available at: http://saeb.feaa.uaic.ro/index.php/saeb/article/download/1115/146  (Accessed: 17 April 2023)

Mazza, P (2022) ‘The impact of servitisation on the journey of the fashion consumer towards sustainability. The surfacing of an alternative fashion value chain.’ Available at: https://www.politesi.polimi.it/bitstream/10589/186729/3/Mazza%20The%20impact%20of%20servitisation%20on%20the%20journey%20of%20the%20fashion%20consumer.pdf  (Accessed: 17 April 2023)

Osei, F., Ampomah, G., Kankam-Kwarteng, C., Bediako, D.O. and Mensah, R (2021) ‘Customer satisfaction analysis of banks: The role of market segmentation.’ Science Journal of Business and Management, 9(2), pp.126-138. Available at: http://article.sjobm.org/pdf/10.11648.j.sjbm.20210902.19.pdf  (Accessed: 17 April 2023)

Taraoktavia, V.T. and Indarwati, T (2021) ‘Market Segmentation Analysis of Almond Crispy Products in UD Pawon Kue.’ International Journal Of Economics, Management, Business, And Social Science (IJEMBIS), 1(2), pp.219-225. Available at: https://cvodis.com/ijembis/index.php/ijembis/article/download/27/23  (Accessed: 17 April 2023)

Usman, H., Lizam, M. and Adekunle, M.U (2020) ‘Property price modelling, market segmentation and submarket classifications: A review.’ Real Estate Management and Valuation, 28(3), pp.24-35. Available at: https://sciendo.com/pdf/10.1515/remav-2020-0021 (Accessed: 17 April 2023)

Question 2 

Answer: 

An efficient integrated marketing mix integrates various communication channels to convince customers of a product’s worth and forge enduring bonds. Integrated Marketing Communication (IMC) is a strategic approach organisation use to align all their communications efforts, online and offline, to deliver a consistent and unified message to their target audience (Palazón et al., 2022). Organisations employ the IMC mix, a compilation of several promotional methods, to market their goods or services to their target market. The five elements of the IMC mix are discussed below:

Advertising:

Advertising is a form of communication that is paid and uses various media platforms such as print, radio, television, online advertisements, and billboards to promote a product or service. Advertising seeks to raise awareness of a brand, affect consumer behaviour, and encourage consumers to buy a good or service (Alamsyah et al., 2021). For instance, Coca-Cola's "Share a Coke" campaign is a prime advertising illustration. To encourage customers to purchase Coke bottles with their names or the initials of their loved ones, the campaign entailed putting prominent first initials on Coke bottles. Sales and brand recognition significantly increased because of the campaign. 

Sales Promotion:

Sales promotion is a short-term incentive that organisations offer to consumers or trade partners to encourage them to buy their products or services. It helps draw clients' attention by extending an invitation to engage in any transaction and offering them various incentives (Fam et al., W 2019). Sales promotions can include coupons, discounts, rebates, contests, giveaways, and loyalty programs. It is a higher-level push tactic used to increase product sales. For example, a successful sales promotion campaign is Starbucks’ ‘Starbucks for Life’ contest. The campaign allowed customers to earn a chance to win free Starbucks drinks for life by making purchases using the Starbucks app. The campaign resulted in significant app downloads, sales, and customer engagement.

Public Relations:

Public Relation involves managing an organisation’s connections with the public, media, and other stakeholders to build a positive brand representation and reputation. Public Relations activities include press releases, media events, social media, crisis management, and community outreach programs (Kent and Li, 2020). For instance, a successful example of public relations campaign is Airbnb’s ‘We Accept’ campaign. The campaign aimed to promote diversity and inclusivity by featuring individuals from different ethnicities, genders, and religions in their advertisements. The campaign helped Airbnb build a positive brand image and increase customer loyalty.

Personal Selling:

Relationship-building with potential consumers is essential to personal selling, which entails convincing people to purchase a good or service. Personal selling can occur in various forms, such as face-to-face interactions, telemarketing, and online chats (Zephaniah, Ogba and Izogo, 2020). An example of personal marketing is Mary Kay’s direct selling model. The model involves independent beauty consultants who build personal customer relationships and sell Mary Kay’s beauty products through one-on-one consultations. The model has been successful in generating sales and building consumer loyalty.

Direct Marketing:

Direct marketing involves approaching potential customers through email, direct mail, telemarketing, and SMS. It aims to generate leads, drive sales, and increase customer loyalty (Palazón et al., 2022). For instance, Amazon’s email campaigns are a classic example of telemarketing. The campaigns use data-driven insights to create personalised recommendations based on customers’ previous purchases and browsing behaviour. The campaigns have been successful in increasing sales and building customer loyalty.

Integrated marketing communication mix makes use of omnichannel marketing with a multi-channel strategy. For any firm, it tries to develop a unified content and marketing plan. Omnichannel marketing with a multi-channel strategy is used in integrated marketing communication functions. For any firm, it tries to develop a unified content and marketing plan. As a result, the company must continuously research the market's current marketing trends and be willing to try out novel and creative ideas for selling products and services.

References:

Fam, K.S., Brito, P.Q., Gadekar, M., Richard, J.E., Jargal, U. and Liu, W (2019) ‘Consumer attitude towards sales promotion techniques: a multi-country study.’ Asia Pacific Journal of Marketing and Logistics, 31(2), pp.437-463. Available at: https://doi.org/10.1108/APJML-01-2018-0005  

Kent, M.L. and Li, C (2020) ‘Toward a normative social media theory for public relations.’ Public Relations Review, 46(1), p.101857. Available at: https://www.academia.edu/download/62443318/1-s2.0-S0363811118303527-main20200322-68400-1hyc4r.pdf (Accessed: 17 April 2023)

Palazón, M., López, M., Sicilia, M. and López, I (2022) ‘The customer journey: a proposal of indicators to evaluate integration and customer orientation.’ Journal of Marketing Communications, 28(5), pp.528-559. Available at: https://doi.org/10.1080/13527266.2022.2051584  

Zephaniah, C.O., Ogba, I.E. and Izogo, E.E (2020) ‘Examining the effect of customers’ perception of bank marketing communication on customer loyalty.’ Scientific African, 8, p.e00383. Available at: https://doi.org/10.1016/j.sciaf.2020.e00383 

Question 3 

Answer: 

1. Corporate Social Responsibility (CSR) refers to the organisation’s responsibility to operate ethically and sustainably that benefits society and the environment. Hyundai Australia is a leading automotive manufacturer responsible for taking actions that positively impact society and the environment. Here are two examples of corporate social responsibilities for Hyundai Australia:

(i) Environmental sustainability:

Hyundai minimises its environmental influence by lessening greenhouse gas emissions, conserving natural resources, and promoting sustainable practices. To achieve this, the company implements various strategies such as reducing vehicle emissions, investing in sustainable technologies, and promoting environmentally friendly driving habits among its customers (HyundaiCSR, 2023). Hyundai also minimises waste and pollution in its manufacturing processes by adopting green initiatives, such as using renewable energy sources and recycling materials. Additionally, the company participates in environmental sustainability initiatives, such as tree-planting campaigns, beach clean-ups, and wildlife conservation efforts.

(ii) Corporate Philanthropy:

Hyundai also engages in corporate philanthropy to support communities and organisations in need. Corporate philanthropy involves using a portion of the company's profits or resources to support various social causes, such as education, health, and poverty alleviation (Sudirman, Upe. and La Ode Herman, 2021). Hyundai partners with charitable organisations to provide funding, volunteers, and other resources to support community programs and projects. The company can also organise community initiatives, such as donation drives, fundraising events, and employee volunteer programs. By engaging in corporate philanthropy, Hyundai strengthens its relationship with the community, builds brand loyalty, and positively impacts society.

2. Environmental sustainability and corporate philanthropy are two crucial areas for corporate social responsibility for Hyundai Australia. Here are the justifications for choosing these two CSR activities:

Environmental Sustainability:

As a leading automotive manufacturer, Hyundai Australia significantly impacts the environment. The company is responsible for reducing its carbon footprint and promoting sustainable practices to minimise its environmental impact. By focusing on environmental sustainability, Hyundai Australia can contribute to a sustainable future, build a positive brand image, and enhance customer loyalty (HyundaiCSR, 2023). Moreover, the company's efforts in environmental sustainability align with the global sustainability goals and promote a positive image of the automotive industry.

Corporate Philanthropy:

Corporate philanthropy is essential for Hyundai Australia because it allows the company to give back to the community and support social causes. By engaging in corporate philanthropy, Hyundai Australia can strengthen its relationship with the community and build trust among its stakeholders (Adamik and Nowicki, 2019). Moreover, corporate philanthropy can create a positive brand image, increase customer loyalty, and attract new customers. Corporate philanthropy is also an opportunity for Hyundai Australia to promote its values and mission to support social and environmental sustainability.

In conclusion, environmental sustainability and corporate philanthropy are essential CSR activities for Hyundai Australia. By implementing effective strategies and initiatives, Hyundai Australia can positively impact society and the environment, build a positive brand image, and enhance customer loyalty.

3. While considering whether to use the same CSR strategies in India as those used in Australia, it is essential to conduct a PESTLE analysis to understand the country's political, economic, social, technological, legal, and environmental factors.

Political Factors:

India is a democratic country with a stable political system like Australia. Therefore, there is no major obstacle to using the same CSR strategies in India as in Australia.

Economic Factors:

India has a rapidly growing economy and a large consumer market. However, there are significant differences in the economic conditions of India and Australia. In some regions, India faces challenges such as elevated poverty levels, income inequality, and a lack of infrastructure (Khalid, Sharma and Dubey, 2021). Therefore, it may be necessary to adapt CSR strategies to address these economic conditions in India.

Social Factors:

India is a diverse country with a rich cultural heritage. India's social conditions differ from Australia's, and it is necessary to consider these differences when implementing CSR strategies. India's large population speaks different languages, practices different religions, and has different social customs (Gechkova and Kaleeva, 2021). Therefore, CSR strategies must be tailored to address these diverse social conditions.

Technological Factors:

India is a country quickly embracing new technologies and has a large and growing technology sector. Therefore, CSR strategies can be designed to incorporate new technologies to achieve better outcomes.

Legal Factors:

India's complex legal system can present challenges for companies. Compliance with local laws and regulations is necessary when implementing CSR strategies (Khalid, Sharma and Dubey, 2021). Additionally, some legal requirements exist for companies that engage in CSR activities in India, such as spending 2% of net profits on CSR activities.

Environmental Factors:

India faces significant environmental challenges such as air pollution, water scarcity, and deforestation. Therefore, it is essential to tailor CSR strategies to address these environmental challenges, which may differ from those in Australia.

Based on the above analysis, while some of the CSR strategies used in Australia could be applied in India, some unique economic, social, legal, and environmental factors must be considered when developing CSR strategies for India. Therefore, it is recommended to adapt CSR strategies to meet local conditions and requirements to achieve the desired outcomes in India.

References:

Adamik, A. and Nowicki, M (2019) ‘Pathologies and paradoxes of co-creation: A contribution to the discussion about corporate social responsibility in building a competitive advantage in the age of Industry 4.0.’ Sustainability, 11(18), p.4954. Available at: https://www.mdpi.com/2071-1050/11/18/4954/pdf (Accessed: 17 April 2023)

Gechkova, T. and Kaleeva, T (2021) ‘HARBOUR INFRASTRUCTURE PROTECTION–PESTLE ANALYSIS.’ KNOWLEDGE-International Journal, 49(5), pp.961-967. Available at: https://ikm.mk/ojs/index.php/kij/article/download/4508/4503 (Accessed: 17 April 2023)

HyundaiCSR, (2023). Progress for Humanity. Available at: https://www.hyundaicsr.com/clean-mobility/  (Accessed: 17 April 2023)

Sudirman, F.A., Upe, A. and La Ode Herman, F.T.S (2021), March. ‘Corporate social responsibility (CSR) contribution to achieve sustainable development goals (SDGs) in southeast Sulawesi.’ In Proceedings of the 11th Annual International Conference on Industrial Engineering and Operations Management Singapore (pp. 7-11). Available at: http://ieomsociety.org/singapore2021/papers/616.pdf  (Accessed: 17 April 2023)

Question 4 

1. Pricing strategies are a framework that directs a business's price choices and aids in accomplishing its financial and business goals. Pricing policies consider manufacturing costs, rivalry, market demand, and consumer behaviour (Abid, 2022). Companies can use various pricing strategies to price their products and services. Here are three different pricing strategies:

(i) Penetration Pricing:

Setting a lower price for a new good or service is known as penetration pricing. The goal is to take customers away from rivals and increase market share. The strategy aims to price the product low enough to make it attractive to consumers who might otherwise choose a competitor's product (Rai and Nunn, 2020). The price might progressively rise once the product has established itself in the market. The strategy is often used in highly competitive markets or when launching new products.

(ii) Price Skimming:

Price skimming is a pricing tactic in which a business charges a high price at the beginning of the life cycle of a new good or service. Targeting clients prepared to pay more for a brand-new, cutting-edge product is part of the plan (Ali and Anwar, 2021). Over time, as demand for the product decreases, the company can gradually lower the price. The strategy is often used for products with unique features or technologies with a limited customer base.

(iii) Dynamic Pricing:

Dynamic pricing is a type of pricing strategy that entails changing a product or service's price in response to external factors, including consumer demand, market conditions, and consumer behaviour. The strategy is commonly used by transportation, hospitality, and entertainment companies (Yan et al., 2020). For example, airlines adjust ticket prices based on demand, availability, and time of day. By modifying prices in real-time in response to market conditions, dynamic pricing enables businesses to maximise revenue.

2. The price suggestion using the penetration pricing strategy, price skimming strategy, and dynamic pricing strategy are as follows:

Penetration Pricing:

Based on the competitive landscape in the fast-food industry and considering the aim of attracting price-sensitive customers, Hungry Jack’s can set a low price for the Healthy Chicken Salad.  A price of $ 4.95 could be an appropriate starting price point, which is lower than the average price of other salad options in the market. The justification for using this pricing strategy is that it can help Hungry Jack's to gain a larger share of the health-conscious fast-food market by making the Healthy Chicken Salad more accessible and affordable to a broader audience. By setting a lower price, Hungry Jack's can differentiate itself from competitors and generate more sales volume, which could lead to increased brand loyalty and customer retention. 

Price-Skimming Strategy:

With the intense competition in the fast-food sector and the desire to appeal to consumers unafraid of paying more, Hungry Jack's can charge a high price for the Healthy Chicken Salad. A beginning price of $10.95, more expensive than the average cost of other salad options on the market, would be a good place to start. With this cost, the Healthy Chicken Salad would become a premium and exclusive menu item, luring early adopters and clients who value health and wellness. The justification for using this pricing strategy is that it can help Hungry Jack's to maximize profits and generate revenue in the short term. By setting a higher price, Hungry Jack's can position the Healthy Chicken Salad as a premium product and attract customers willing to pay a premium for healthy, high-quality food options (Ali and Anwar, 2021). It can generate buzz and create a sense of exclusivity around the product. Over time, as the Healthy Chicken Salad becomes more popular and demand increases, Hungry Jack's can adjust prices to reach a wider audience and maximize revenue.

Dynamic Pricing Strategy:

Hungry Jack's can set the starting pricing for the Healthy Chicken Salad at $8.95 in light of the fast-food industry's fierce competition and the desire to maximise profits. However, the price might change dynamically based on demand and other variables. For instance, the price of the Healthy Chicken Salad could be raised to $9.95 to reflect the additional value customers place on the item during peak lunch hours. To encourage customers to buy the Healthy Chicken Salad, the price may be dropped to $7.95 if demand is low during off-peak hours. The reason for using this pricing strategy is that it can help Hungry Jack's to optimise revenue and respond to changing market conditions in real time (Yan et al., 2020). By setting an initial price and adjusting it dynamically based on demand and other factors, Hungry Jack's can ensure that the price reflects the value that customers place on the product at any given time. It can increase sales volume and generate more revenue for the company. Additionally, by using dynamic pricing, Hungry Jack's can stay competitive in a crowded fast-food market and differentiate itself from competitors who may have static pricing.

3. Based on the analysis of the competitors' prices and the market demand, the recommended pricing of the Healthy Chicken Salad for Hungry Jack's at $8.95, using the dynamic pricing strategy. Subway offers a Chicken Classic Salad for $9.50, and McDonald's offers a Grilled Chicken Salad for $9.50, which makes $8.95 a competitive price. Furthermore, the dynamic pricing strategy can attract price-sensitive customers by offering occasional lower prices during off-peak hours while ensuring the price remains competitive during peak hours when demand is high (Ciarreta, Espinosa and Pizarro-Irizar, 2023). Moreover, the dynamic pricing strategy allows revenue optimization by adjusting prices based on market conditions and demand. It can help Hungry Jack's maximize revenue during peak hours while attracting customers during off-peak hours. By setting an initial price of $8.95, Hungry Jack's can use data and analytics to adjust the price accordingly to ensure revenue optimization. Therefore, pricing the Healthy Chicken Salad for Hungry Jack's at $8.95 using the dynamic pricing strategy is a justified decision to remain competitive in the Australian fast-food market.

References:

Ali, B.J. and Anwar, G (2021) ‘Marketing Strategy: Pricing strategies and its influence on consumer purchasing decision.’ Ali, BJ, & Anwar, G.(2021). Marketing Strategy: Pricing strategies and its influence on consumer purchasing decision. International journal of Rural Development, Environment and Health Research, 5(2), pp.26-39. Available at: https://aipublications.com/uploads/issue_files/4IJREH-APR20212-Marketing.pdf (Accessed: 17 April 2023)

Ciarreta, A., Espinosa, M.P. and Pizarro-Irizar, C (2023) ‘Pricing policies for efficient demand side management in liberalized electricity markets.’ Economic Modelling, 121, p.106215. Available at: https://doi.org/10.1016/j.econmod.2023.106215 

Rai, A. and Nunn, O (2020) ‘On the impact of increasing penetration of variable renewables on electricity spot price extremes in Australia.' Economic analysis and policy, 67, pp.67-86. Available at: https://www.ncbi.nlm.nih.gov/pmc/articles/PMC7326418/ (Accessed: 17 April 2023)

Yan, C., Zhu, H., Korolko, N. and Woodard, D (2020) ‘Dynamic pricing and matching in ride‐hailing platforms.’ Naval Research Logistics (NRL), 67(8), pp.705-724. 
Available at: https://www.researchgate.net/profile/Chiwei-Yan-2/publication/337282035_Dynamic_pricing_and_matching_in_ride-hailing_platforms/links/5eb65b1192851cd50da3a5e2/Dynamic-pricing-and-matching-in-ride-hailing-platforms.pdf  (Accessed: 17 April 2023)