Marketing and Economic Development

This assignment delves into the complex relationship between marketing and economic development. It examines key factors influencing national development from a historical perspective, highlighting their impact on developing economies. The assignment also references various academic journals and books, including works by Appiah-Adu, Armstrong, Challagalla et al., Dibb et al., English and Kernek, Golding and Peattie, Gordon, Hollensen, Lovelock et al., Rivera, Sheth and Sisodia, and Steinberg and Greene. It explores the concept of market orientation through both online resources and scholarly works.

Marketing
Principles

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
1.1 Elements of marketing process.............................................................................................3
1.2 Benefits and costs of marketing orientation..........................................................................4
2.1 Influence of micro and macro factors...................................................................................4
2.2 Segmentation criteria............................................................................................................5
2.3 Targeting strategy..................................................................................................................5
2.4 Effects of buyer behaviour on marketing activities..............................................................5
2.5 Proposing new positioning for a selected product/service....................................................6
3.1 The way in which products are developed to sustain competitive advantage.......................6
3.2 Arranging distribution to provide customer convenience.....................................................7
3.3 Setting prices to reflect an organisation’s objectives and market conditions.......................7
3.4 Illustration of promotional activity integrated to achieve marketing objectives...................8
3.5 Analysing the additional elements of extended marketing mix............................................8
TASK 2............................................................................................................................................9
Covered in PPT...........................................................................................................................9
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Marketing is a medium through which business organisations can communicate their
products and services to customers and market audience. Before implementing any marketing
strategy, it is important to consider the basic principles of marketing. In this report, the elements
of marketing process have been discussed. Moreover, basic concepts which are involved in
developing a marketing strategy have also been described in this assessment for gaining broader
insight into the subject (Steinberg and Greene, 2015). All these aspects shall help Iceland Foods
to devise a marketing plan which attracts more customers and profits from target markets.
TASK 1
1.1 Elements of marketing process
The marketing process has seven basic elements which are described as follows:
 Conducting market research
 Developing marketing strategy
 Planning marketing activities
 Managing promotional strategies
 Optimising sales activities
 Managing customer feedbacks
 Reviewing marketing effectiveness
Iceland Foods has to conduct a market research initially for understanding the
conditioning of target markets. The results obtained from this research shall help in developing a
marketing strategy which will promote products to consumers. Once a strategy is proposed and
planned strategically, organisation now holds a responsibility of conducting and managing
advertisements regarding to choices and current market trends (Appiah-Adu, 2015).
Furthermore, Iceland Foods ha to assess the effectiveness and impact of implemented plans on
sales and customers in the form of feedbacks. If there are more positive returns acquired by
company, then it can be stated that marketing strategy became successful. Else, Iceland Foods
has to develop some other strategy.

1.2 Benefits and costs of marketing orientation
Marketing orientation of Iceland Foods is considered as technique through which
customer demands and needs are more focused and achieved. Following are the benefits and
costs of this type of orientation for the organisation respectively:
Benefits:
 Increase in the accuracy of firm for meeting demands of customers (Advantages and
Disadvantages of Having a Marketing Orientation in an Organization, 2017). Moreover,
better response is provided to consumers when company adapts marketing orientation. Marketing orientation brings in more customer value. This implies that amount of brand
loyal consumers shall increase simultaneously.
Costs:
 Iceland Foods has to invest more in conducting extensive researches. In order to acquire
more knowledge regarding customer needs and demands, company has to invest some
money.
 The overall marketing costs are increased incidently when marketing orientation is
adopted by company. In critical situations, this strategy often turns out to be non-
beneficiary for organisation.
2.1 Influence of micro and macro factors
The business environment is made up of various kinds of micro and macro factors that
can influence marketing decisions in the long run. Majorly employees, economical conditions of
the country, demographics of current markets and the suppliers are some factors. The attitudes
and attributes of employees towards Iceland Foods helps in estimating the productivity levels of
company. Marketing decisions are quite crucial. If any sort of negligence is portrayed by
employees then direct impact on company's functioning can be felt. On the other hand, changes
in economic factors like inflation, recession, interest rates, foreign exchange rates, etc. have deep
impact over the external environment of company (Rivera, 2017).
If suppliers' relations are not healthy or Iceland Foods faces some difficulty in developing
strong bonds with suppliers then there will be a delay in both production and distribution of
goods to the audience which implies significant decline in market share. Demographics includes
population structure, diversity, age, sex, etc. of the targeted customers. Company has to evaluate
all such factors before implementing a marketing decision for particular products.

2.2 Segmentation criteria
Iceland Foods deals majorly with frozen foods, pre-prepared meals and vegetables,
grocery items and certain dry products. The segmentation strategy is focused on classifying or
breaking the entire market into different segments according to specific needs of collective
groups (Challagalla, Murtha and Jaworski, 2014). For example, employed and young individuals
who do not have time to cook their food by themselves will opt for frozen food. On the other
hand, the elderly segment shall go for fresh groceries and vegetables. Hence, Iceland Foods has
to develop different marketing strategy according to various segments that are acquired for
particular products.
The company can use demographical segmentation for the domestic markets and
behavioural segmentation for international markets. Demographical criteria is categorising
individuals on the basis of age, sex, etc. while other criteria differentiates individuals with
dissimilar behavioural attributes. Young individuals who are employed and prefer frozen food
have been segmented for Iceland Foods.
2.3 Targeting strategy
Once, segmentation criteria has been chosen for developing marketing strategy, Iceland
Foods has to develop a targeting strategy. It is like selecting those individuals who are most
likely to make a purchase when subjected to marketing strategies. They are considered as
potential customers (Armstrong and et. al., 2014). From the demographical and behavioural
segmentation performed ahead, it has been determined that young individuals (who belong to the
age group 20-35) have been segmented.
The targeting strategy has been chosen for anticipating profits and developing the
marketing share. Iceland Foods has to develop the marketing plan by targeting segments that are
accessible and focusing on various requirements of the segmented individuals. In this case young
individuals are focused with specific need of quality and convenience in cooking.
2.4 Effects of buyer behaviour on marketing activities
Situations and their perseverance reflects in buying behaviour of individuals. Marketing
activities are eventually affected when buyer behaviour deflects in a particular situation. For
example, a person is making a purchase for frozen food but his psychological beliefs are not in
favour of such packaged food because of their health regulations. This implies his decisions

change and the purchase is not made. Marketing activities must be in such a way that barriers
that are a part of buying behaviour do not affect the purchase decisions.
Moreover, cultural beliefs and traditional values are also some of the key factors which
influence buyers to make a purchase (Hollensen, 2015). If marketing activities are designed in
accordance with culture and beliefs of segmented individuals then Iceland Foods can have
significant increase in their profits.
2.5 Proposing new positioning for a selected product/service
Positioning basically defines the way in which Iceland is willing to place themselves in
the market by their consumers on the basis of their branding, products and its pricing, etc. It is
hence in context to the positioning of its selected grocery products that has been proposed for
two distinct segments of consumers. It is with a foremost category of frozen food products for
youngsters as a former group with another classification of fresh grocery for elderly groups
(Armstrong and et.al., 2014). However, to position these two distinguished commodities, the
youngsters will be served under low pricing strategy with online services of distribution and
sales promotion as a way of satisfying their actual needs. Whereas, another group of old age
customers will be served fresh foods as per their identified requirement under a premium pricing
strategy via offline means through which they can themselves visit the stores and buy fresh
foods. Beside this, advertising is referred to be the best way of acknowledge this consumer
segment.
3.1 The way in which products are developed to sustain competitive advantage
Product development being an integral part of the business is a vital source to attain a
contending benefit in the market. It is with a fundamental concern of achieving a sustainable
advantage in the market for which, Iceland is primarily required to identify the factual needs and
demands of their consumers. On whose basis, they can subsequently develop a similar set of
commodity fulfilling the realistic preferences of their respective customers (Dibb, Simkin and
Wilson, 2008). A sustainable competitive benefit on other hand is also specified to be the focal
point of the corporate strategies enforced by a business to survive the toughest competition
prevailing in the marketplace. In context to which, almost all analogous organisations
represented as the rivals of the cited firm has together applied such measures by which they can
accomplish a contending position in the market. Iceland with a similar consideration can hereby

refer to the two leading business tactics of cost and differentiation to become the market leaders
by together prolonging its advantageous position in the market.
3.2 Arranging distribution to provide customer convenience
A prompt channel of distribution is evident to play a crucial role in a business enterprise
where it is with a need base concern of provisioning timely goods and services to the customers
via all potential means. This is basically to reach out the people as per their own convenience
where Iceland is presently referred to have an active offline presence all over its marketplaces
(English and Kernek, 2011). It is however with reference to another pivotal fact of distribution
channel where an accurate channel is proven to be a leading source of competition for the
business entities. Beside this, it is also apparent to enhance the visibility and accessibility to the
consumers as a way of improving the sales goals of an establishment. It is therefore with a
similar context to it, Iceland can hereby refer to adopt the online channels of distribution which
is together evident to meet out the considerate desires of today's modernised clients and users.
3.3 Setting prices to reflect an organisation’s objectives and market conditions
Pricing is referred to have another most important role in the marketing activities of a
venture where it is not only stipulated with a mere consideration of attaining more number of
profits, but is together integrated with yet another major concern of increasing the sale of
commodities (Sheth and Sisodia, 2015). For which, Iceland is hereby required to set the price of
their proposed goods and services that meets out the prospective demand of their consumers.
This requires them to have a look at their contender's adopted strategies of pricing where there
exists enormous pricing schemes. This involves cost based, premium and value based pricing,
etc., where each of it exists with a distinct conception.
However, on referring to the fact of pricing that could lead to make an adverse impact on
the considerate profits of Iceland, cost based pricing that is entirely based upon a primary
consideration of obtaining more number of profits is referred to be a fallacious concept (). Due to
which, Iceland can hereby refer to adopt the practice of value based pricing as a way of
satisfying their customers with sufficient discounts and other promotional schemes. This will in
turn not only increase their sales but will together aid them to create new business relationship
with newer set's of consumers to fulfil their ultimate goal of earning more profits.

3.4 Illustration of promotional activity integrated to achieve marketing objectives
The tact of promotion is to make a prompt interaction with the targeted clients and users
of organisations like Iceland as a way of acknowledging them about any newly proposed
commodities. It is a pivotal part of marketing that in turn is apparent to necessitate the quoted
entity to integrate their undertaken tact of promotion with that to their marketing goals and
objectives (Kokemuller, 2016). Such tact of promotion is not only proven to communicate the
targeted set of audience about any new projection of goods and services but to also influence
them to purchase it. This in turn postulates the business firms to clearly communicate about the
potential features of their proposed products where there exists some vital tools of promotional
mix to interact with the users. This includes the tact of public relation, sales promotion, personal
selling and advertisements, etc. Iceland can hereby refer to such consolidated measures of
promotional mix as a fulfilling their marketing objectives with an integrated act of promotion.
3.5 Analysing the additional elements of extended marketing mix
The additive elements of marketing mix comes under the composition of service
marketing mix that involves such factors that in turn outlines the ways in which Iceland can
effectively propose their services to the users. These components are as described below-
 People- This is context to define the appointed staff of Iceland where they should
possess impelling skills for serving the users (Golding and Peattie, 2005). This
element is in turn apparent to reflect the hiring procedures of Iceland where they are
required to appoint right individuals at right place as a way of sustaining the
contending market environment.
 Process- This is in relation to depict the operational procedures of Iceland to
effectively serve the users as a way of assuring a consistent service to them will no
state of perplexity at all. This is for instance to specify about the delivery process of
Iceland on opting for online provisioning of goods and services by together referring
to an effectual way of quick billing system while provisioning offline service at stores.
 Physical evidence- This is referred to be another substantial element of extended
marketing mix where it is proven to represent the location from where the services are
being delivered to the clients (Lovelock, Patterson and Wirtz, 2014). This gives an
intangible experience to the customers even before acquiring the services. Thus, in the

present illustration of Iceland, it is apparent to interpret the maintained environment of
their retail and convenience stores that should be clean and well-kept.
TASK 2
Covered in PPT
CONCLUSION
The above report has summarised a major agenda of marketing in an organisation by
precisely articulating its principles. It has thereby entailed two leading sections with a foremost
part to closely analyse the market of an elected food corporation named Iceland by together
evaluating its industrial measures. On whose basis, the another portion of this report has outlined
a plan of marketing for the same.

REFERENCES
Journals and Books
Appiah-Adu, K., 2015. Marketing and Economic Development. Key Determinants of National
Development: Historical Perspectives and Implications for Developing Economies,
pp.335.
Armstrong, G. and et. al., 2014. Principles of marketing. Pearson Australia.
Challagalla, G., Murtha, B. R. and Jaworski, B., 2014. Marketing doctrine: a principles-based
approach to guiding marketing decision making in firms. Journal of Marketing, 78(4),
pp. 4-20.
Dibb, S., Simkin, L. and Wilson, D., 2008. Diagnosing and treating operational and
implementation barriers in synoptic marketing planning. Industrial Marketing
Management. 37(5). pp. 539-553.
English, D.E. and Kernek, C.R., 2011. Evaluating knowledge and critical thinking in
international marketing courses. College Student Journal. 42(4). p.1037.
Golding, K. and Peattie, K., 2005. In search of a golden blend: perspectives on the marketing of
fair trade coffee. Sustainable Development.13(3). pp. 154-165.
Gordon, R., 2012. Re-thinking and re-tooling the social marketing mix. Australasian Marketing
Journal (AMJ). 20(2). pp.122-126.
Hollensen, S., 2015. Marketing management: A relationship approach. Pearson Education.
Lovelock, C., Patterson, P. G. and Wirtz, J., 2014. Services marketing. Pearson Australia.
Rivera, J., 2017. Marketing Principles.
Sheth, J. N. and Sisodia, R. S., 2015. Does marketing need reform?: Fresh perspectives on the
future. Routledge.
Steinberg, M. and Greene, S., 2015. Conceptualizing the Cultural Concepts in Marketing and
Consumer Behavior. In Proceedings of the 1988 Academy of Marketing Science (AMS)
Annual Conference (pp. 175-178). Springer International Publishing.
Online
Advantages and Disadvantages of Having a Marketing Orientation in an Organization. 2017.
[Online]. Available Through:<http://smallbusiness.chron.com/advantages-disadvantages-
having-marketing-orientation-organization-25888.html>. [Accessed on 29th March,
2017].

Kokemuller, N., 2016. Advantages & Disadvantages of Market Orientation. [Online]. Available
through:<http://smallbusiness.chron.com/advantages-disadvantages-market-orientation-
18941.html>. [Accessed on 29th March, 2017].
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