This report provides an understanding of the marketing strategy of AdviceUK, a non-profit organization. It discusses the organization's background, marketing strategies, ethical and social responsibility, target segments, and recommendations for improvement.
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Running head: APPLIED BUSINESS ETHICS Applied Business Ethics’ Name of the Student Name of the University Author Note
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1APPLIED BUSINESS ETHICS Abstract The following report aims to provide an understanding about the marketing strategy of not for profit organizations. The organization that has been selected here isAdviceUK.It is located in United Kingdom and it was founded in 1979. The short background about the organization has been given in this paper. The marketing strategy of the company has been discussed in this paper. The ways this company operates has also been given a brief as well. Some tools for the analysis of the marketing strategy are used. This has given the proper opportunity to identify the basic issues within non for profit organizations. These tools have effectively analyzed the probable marketing strategies for the organization. The responsibilities of the leaders in not for profit organizations have been provided as well. Some crucial ethical frameworks have been used to understand the probable recommendations how the organizationAdviceUKcan run their business more smoothly. Table of Contents
2APPLIED BUSINESS ETHICS Introduction......................................................................................................................................3 Background of organization............................................................................................................4 Marketing strategies of AdviceUK..................................................................................................5 Marketing Mix.............................................................................................................................7 Ethical and social responsibility......................................................................................................9 Chosen target segments for AdviceUK...........................................................................................9 Brand positioning...........................................................................................................................11 Recommendations..........................................................................................................................13 Conclusion.....................................................................................................................................14 References and Bibliography.........................................................................................................15
3APPLIED BUSINESS ETHICS Introduction The aim of the following report is to describe on the marketing activities of not for profit organizations. The not for profit organizations are generally such type of organizations where managers do not work for raising profits and earn higher benefits for providing their services and products. These organizations are not directed to earn profits for their owners and they work for thewelfareofcommunitiesandsocietyonthewhole.Thesourceofmoneyforthese organizations comes from donations from all over the world or by charity foundations. The money earned by these not for profit organizations are generally donated to meet objectives of the organizations. These organizations generally have a back up from Government and they do not need to be much aware of challenges in business communities. The chosen organization for this report isAdviceUKi.e. based in United Kingdom. Inthispaper,mostimportantmarketingstrategieswillbediscussedforabetter understanding of the readers. The primary and secondary stakeholders for this organization, brand marketing and positioning, chosen target markets, target segmentation and marketing mix will be discussed. Apart from that, an ethical framework will have to be used in this paper to recommend how this organization would be able to meet their objectives and work more effectivelytosupportthecommunityproperly.Theethicalframeworksareindeedvery important for organizations because these frameworks guide organizations to work smoothly and without committing any unethical means. This will keep up their good reputation and brand image as their customers are entire communities (Khan 2014).
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4APPLIED BUSINESS ETHICS Background of organization The chosen organization for this paper isAdviceUK.The organization was founded in the year 1979 e founding purpose of this organization was to provide independent services to all members of the organization (Adviceuk.org.uk 2019). The company provides different types of services like legal and social welfare services to all their members. The company is a registered charity organization within UK and many members of this organization have been benefitted from this organization. The workforce strength of this organization is around 700 and they provide assistance to around 500 other organizations in different fields (Adviceuk.org.uk 2019). This organization is generally run by donations from all parts of the world. The AdviceUKCompany is considered as the largest network for independent services. There are severalindependentservicecentersthroughwhichAdviceUKprovidestheirservices (Adviceuk.org.uk 2019). The other organizations would be able to run their businesses in a smooth manner. However, the question of ethics comes within the sphere of their works since their suggestions and services would provide better activities and ensure how they can deal with badsituationsinanethicalmanner.Thecompanyalwaysbelievesinunityandethical suggestions can increase their reputation (Baker 2014). The member organizations always receive several discounts and benefits as they continue with providing their services.AdviceUKhas been able to create a huge range of services especially for advice sector (Adviceuk.org.uk 2019). The other departments they provide their services are training and staff development and consultancy. Their case management systems are AdvicePro, UK AdviceFinder and others. Very recently they have begun to provide their services to other sectors like Higher Education, Legal, Law Faculty members, Local Public
5APPLIED BUSINESS ETHICS Sector, Private sector and Housing sectors (Adviceuk.org.uk 2019). They have to maintain proper marketing strategies so they can flourish and help their surrounding communities. Marketing strategies of AdviceUK Marketing strategies are very essential factors for the overall success of organizations, be it a profitable organization or a non-profit. All organizations should follow a proper marketing strategy that would determine their chances to survive in the competitive industry. As not for profit organizations are not based on earning higher profits, they will have to keep their reputation high all the time. The organizations likeAdviceUKhave been challenged by issue like digital marketing (Baker 2014). As these companies do not have enough resources of money they would need to do something and take a positive step regarding this (Londhe 2014).It is indeed very crucial for such not for profit organizations to thrive in this kind of competition and achieve proper sustainability. Digital marketing or online advertising is considered as one of the most powerful strategies to attract customers (Fifield 2012).The not for profit organizations will have to raise an awareness among their target audience and connect to them efficiently. The aspect of thriving in this scenario has been considered as a very challenging aspect since companies likeAdviceUK has to increase their presence in social media (David and David 2013). AdviceUKcan also opt to raise emotions through videos so their target audience can find themworthyofbeingtrusted(Gordon2012).Thebusinessoperationofnotforprofit organizations are done based on trust of their target audience. The trust and brand reputation of these companies are strongest points for success of these companies. Therefore, they have to make some videos by which they can create the trust on people (Fifield 2012).As they operate in
6APPLIED BUSINESS ETHICS a very risky situation, they must take the help of video marketing to fulfill their business objectives (David and David 2013).The company can also opt to allocate a small budget program that will help them to connect with all their stakeholders and customers (Armstrong et al. 2015).According to sources, they have around 700 workers and they provide support to almost 500 other organizations.AdviceUKcan opt to take the technological assistance from these companies and provide them with needed advices and suggestions instead (Kotler and Armstrong 2015). AdviceUKhas to employ numerous expert advisors who will help customer companies with their much needed advice(Erdoğmuş and Cicek 2012).These employees of the company can ask their managers to apply for‘donate now’button that would surely be effective for them to generate the money to carry out their business objectives. This button will initiate proper action that would be helpful forAdviceUKfrom monetary perspectives. (Armstrong et al. 2015). Marketing Mix Product The companyAdviceUKprovides advice services to their customers. Products and servicesareconsideredasoneofthemostusefulfactorsforoverallsuccessthrough improvement in brand reputation (Wagner and Hollenbeck 2014). The company provides important advices to a huge number of organizations from different sectors. This is why the company should set a long term vision for their organization and decide how they can meet their objectives through proper payment policies(Kotler and Armstrong 2015). The company can opt to recruit many more expert advisors so they can expand their range of services. These long-term strategies will indeed be highly effective for this situation. The company might have some many
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7APPLIED BUSINESS ETHICS potential competitors in this field so they will have to provide diversified services in sectors like healthcare and mining. Many controversies have arisen in these sectors previously so they would be able to provide effective advices for those organizations (Erdoğmuş and Cicek 2012). Price Price is also a very crucial fact for the success of all organizations. In this case it must be said that not for profit organizations likeAdviceUKwill have to be much cautious about taking their pricing decisions. The company does not have a proper objective for generating profits but they will need money for their advertising campaigns indeed (Kotler and Armstrong 2015). Company likeAdviceUKmight apply some probable pricing strategies like maximization of market size, surplus maximization, disincentivalization of market, cost recovery, social equity and others. These strategies would be highly effective in this discourse (Malhotra and Malhotra 2012).Costs for all other things should be managed and cleared of higher barriers so better pricing strategies could be initiated. Promotion Promotions for non-profit organizations likeAdviceUKshould be based on social media campaigns and video marketing processes. The social media is a very active media and it can fetch customers for a company likeAdviceUK(Berthon et al. 2012).The managers of the company can opt to choose this medium for convincing their customers. Social media platforms like Facebook will indeed be a very effective medium for communicating with customers and letting them know the best things for desired success (Kotler and Armstrong 2015).The traditional promotional tools will not be good enough for success of the companies since most of contemporary companies are well equipped with technological advancements.AdviceUKcan
8APPLIED BUSINESS ETHICS also opt for direct marketing strategies with their clients instead. Clients can also be persuaded personally as well (Berthon et al. 2012). Place The services ofAdviceUKregarding providing advices to their clients should be done through proper distribution channels of the company (Mullins et al. 2013). However, this prospect will not be very much important for non-profit organizations. They are doing a kind of charity work to all their customers. The managers ofAdviceUKshould always keep in mind the ways of how service information should reach their target audience. Only then they can make up some strategies for development and expansion of their organization (Tuten and Solomon 2017). Ethical and social responsibility All non-profit organizations should observe some ethical and social responsibilities to keep the reputation of their organization clean enough. Social impacts on activities ofAdviceUK should be kept in the primary focus for their company. In doing so, companies will go on to aware common people within their community (Mullins et al. 2013). As education sector is also includedintheircustomerbase,theywillneedtogiveethicaladvicesonhowthose organizations can improve their quality and contribute to welfare of society.The most prior thing as a part of CSR activity will be to increase the trust among all the people of the community (Fahy and Jobber 2015).Apart from that, monetary sources for non-profit companies depend upon fundraising events and donations from international organizations. If they can thrive to provide a better operating environment for their stakeholders, they will achieve more donations and be able to run their company pretty smoothly. The company should contribute to reduce poverty from society (Tuten and Solomon 2017).Prevent people from diseases and
9APPLIED BUSINESS ETHICS enlighten the youth of society who is at great risk because of increasing unemployment. Thus social responsibility of non-profit organizations has a huge place in their success. Strong relationships with public should be initiated byAdviceUK. Chosen target segments for AdviceUK Target market segmentation is also a highly crucial factor for all companies in order to succeed. Likewise ‘for profit’ organizations, non-profit organizations too, have their specified target markets(Fahy and Jobber 2015). These target markets are segmented for gaining benefits of that company. The marketers for non-profit organizations will have to make proper strategies on how they can select their specific target markets. In this scenario, content marketers of AdviceUKalso have to select proper channels of customers so they can approach them properly. The selected company should sort out about all the services they will provide to their clients (Kotler et al. 2015). It has already been mentioned thatAdviceUKshould begin to target healthcare sector for providing important advices for their survival. Their experts can educate healthcare practitioners on how patients can be treated and what approach should be taken by practitioners to behave with them in an ethical manner (Kotler et al. 2015). Education sector is also their selected target markets. There are several ethical issues while considering education sector. They can help teachers by providing advices on ethical considerations. This will create a good impact on the minds of teachers and people associated with teaching sector.
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10APPLIED BUSINESS ETHICS Sometimes people associated with legal sphere face some ethical complications. The experts of this company can provide many legal advices on how to cope up with these issues properly and without applying any unethical means. AdviceUKwill always need to pay advices with real values to their customers. These perspectives would be highly important for the company good reputation within their business environment. Legal issues can be dealt by expert advisors ofAdviceUKand be a game changer in their business environment. As the company is based on donations given by different charity firms and corporate houses, they should always take them into their target audience. The aspect ofPayroll Givingis indeed an important factor for utilizing tax-efficientdonations for their company. Corporate houses can be approached showing them the kind of work they do. The corporate houses will come up to stand beside them by providing them with donations of large amounts before deduction of taxes. The major stakeholders for this company would be the ones who can meet up all the values and purposes of establishing this organization. If they can provide good advice to all their clients of several fields, everyone would be benefitted. All ethical sensitiveness should be covered up by all major target audiences of the company like law firms, schools, hospitals, students and others. Co-operation from all target audiences would be highly solicited by the organization if they want to discard their problems and improve their quality of life in their operations. Human Resource Managers of different organizations can also be their target audience since they have expert advisors on training and quality improvement as well.
11APPLIED BUSINESS ETHICS Local Governments and Public sector organizations are also their chosen target markets as they would be able to provide best advices on how to improve their services efficiently (Andreasen 2012). Another target market forAdviceUKis student unions. Many student unions face some troubles while getting admitted to their colleges and problems regarding college fees and all. Politics related issues are there as well. This non-profit company helps them with certain advices that would benefit to improve their quality of life. Professionals of housing sector are another of their chosen target markets. They solve all the issues of their target consumers with ethical decisions and observing their social responsibility. Brand positioning Brand positioning has been regarded as an essential component for valuing of companies and their place in business market. As already mentioned previously,AdviceUKis the largest network in the country regarding providing advices for other companies to be precise (Najev Čačija 2013).This means they have a very strong position in their business market. In order to improve the position of their brands, they will have to take some necessary steps that would surely make their position stronger. AdviceUK will have to differentiate themselves from their competitors. This will be highly helpful for the organization to provide all types of advice services to almost every sector. Some nonprofit organizations have also faced the challenge of making themselves different from other organizations. They should set up their proper goal and sum up the method how they will achieve those goals.
12APPLIED BUSINESS ETHICS The company should personalize themselves to find better options of improvement.The companyAdviceUKcan opt to implement the peer-to-peer fundraising system for personalization. The organizational managers must also create a good rapport with all clients so they can be relatable. They should create a‘how to help’page feature in their website so all donors, fundraisers and volunteers will be able to put in the proper help for the company (Najev Čačija 2013). The managers of nonprofit organizations should be thought leaders.The managers should be highly innovative and contribute to the forward thinking process. This is probably the only way nonprofit organizations should be able to gain a fair reputation abiding by all ethical considerations (Fortenberry 2012).The leaders must be able to innovate new things within the context of their services. The leaders should also be able to show the donors that they will be benefitted from their end if they donate to their causes, both emotionally and ethically. Recommendations In this segment some recommendations will be given on howAdviceUKwill be able to run their business smoothly by considering all ethical issues and theories. Some ethical theories and frameworks should be included in this aspect to realize how they can improve. Some ethical theories in this perspective are normative ethics, teleology or utilitarianism, deontology, Kantian ethics and many others.AdviceUKshould always act ethically since they do not have any monetary profits to safeguard them. If their reputation is affected, they will lose their client base as well. Some of the ways in which they can act ethically are:-
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13APPLIED BUSINESS ETHICS AdviceUKshould act as per deontological ethical framework. The managers should know what activities are good and which are bad. Morally and ethically correct options should always be chosen by attracting customers and convincing them to opt for their services. Teleological ethical approach should not be used here since it centers round end results or consequences. It is becauseAdviceUKmanagers should advice their clients based on moral perspectives. However, utilitarianism ethical approaches can also be implemented in this scenario. This ethical approach states about most benefits provided to most people. The nonprofit organizations always like to provide highest benefits to people they are serving for. All the issues must be resolved in this case by having knowledge about problems of their clients. If best outcomes are achieved, it will be highly beneficial for the company as well. Conclusion On a concluding note, it can be said that nonprofit organizations are somewhat different from profitable organizations. They do not hanker for monetary benefits. This would be highly important to note that brand reputation and good ethical approaches to business are considered as most crucial aspects for the company. The chosen companyAdviceUKhas been a very successful in their business environment. They provide proper ethical advices to around 500 organizations all across the country from different sectors. This advice is indeed very much helpful for them to overcome several issues and ethical dilemmas. The marketing strategy implementations are quite useful for their benefits. Apart from that, some ethical frameworks have also been discussed here to demote how the organization can comply with these issues properly. The leaders of the organization should be very much innovative and plan for a better
14APPLIED BUSINESS ETHICS future for the organization. Perhaps these things are so very crucial for nonprofit organization likeAdviceUKto survive.
15APPLIED BUSINESS ETHICS References and Bibliography Adviceuk.org.uk. (2019).AdviceUK | is the UK's largest support network for free, independent advice centres.. [online] Available at: http://www.adviceuk.org.uk/ [Accessed 11 Mar. 2019]. Andreasen, A.R., 2012. Rethinking the relationship between social/nonprofit marketing and commercial marketing.Journal of Public Policy & Marketing,31(1), pp.36-41. Armstrong, G., Kotler, P., Buchwitz, L.A., Trifts, V. and Gaudet, D., 2015. Marketing: an introduction. Baker,M.J.,2014.Marketingstrategyandmanagement.MacmillanInternationalHigher Education. Berthon, P.R., Pitt, L.F., Plangger, K. and Shapiro, D., 2012. Marketing meets Web 2.0, social media, and creative consumers: Implicationsfor international marketing strategy.Business horizons,55(3), pp.261-271. David, F.R. and David, F.R., 2013.Strategic management: Concepts and cases: A competitive advantage approach. Pearson. Erdoğmuş,İ.E.andCicek,M.,2012.Theimpactofsocialmediamarketingonbrand loyalty.Procedia-Social and Behavioral Sciences,58, pp.1353-1360. Fahy, J. and Jobber, D., 2015. Foundations of marketing. Fifield, P., 2012.Marketing strategy. Routledge.
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16APPLIED BUSINESS ETHICS Fine, S.H., 2017.Marketing the public sector: Promoting the causes of public and nonprofit agencies. Routledge. Fortenberry, J.L., 2012.Nonprofit marketing. Jones & Bartlett Publishers. Gordon, R., 2012. Re-thinking and re-tooling the social marketing mix.Australasian Marketing Journal (AMJ),20(2), pp.122-126. Khan,M.T.,2014.Theconceptof'marketingmix'anditselements(aconceptualreview paper).International journal of information, business and management,6(2), p.95. Kotler, P. and Armstrong, G., 2015.Principles of Marketing-Global Edition. Pearson. Kotler, P., Burton, S., Deans, K., Brown, L. and Armstrong, G., 2015.Marketing. Pearson Higher Education AU. Londhe, B.R., 2014. Marketing mix for next generation marketing.Procedia Economics and Finance,11, pp.335-340. Malhotra, N.K. and Malhotra, N.K., 2012.Basic marketing research: Integration of social media. Boston, MA: Pearson. Mullins, J.W., Walker, O.C., Boyd, H.W. and Larréché, J.C., 2013.Marketing management: A strategic decision-making approach. New York: McGraw-Hill. Najev Čačija, L., 2013. Fundraising in the context of nonprofit strategic marketing: Toward a conceptual model.Management: journal of contemporary management issues,18(1), pp.59-78. Payne,D.andPressley,M.,2013.Atranscendentcodeofethicsformarketing professionals.International Journal of Law and Management,55(1), pp.55-73.
17APPLIED BUSINESS ETHICS Trevino, L.K. and Nelson, K.A., 2016.Managing business ethics: Straight talk about how to do it right. John Wiley & Sons. Trevino, L.K. and Nelson, K.A., 2016.Managing business ethics: Straight talk about how to do it right. John Wiley & Sons. Tuten, T.L. and Solomon, M.R., 2017.Social media marketing. Sage. Wagner III, J.A. and Hollenbeck, J.R., 2014.Organizational behavior: Securing competitive advantage. Routledge.