P3. Comparison of two organisations regarding marketing mix to marketing

Marketing Essentials

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK1.............................................................................................................................................1
P1. Roles and Responsibilities of Marketing Function...............................................................1
P2. Marketing inter relation with other departments..................................................................3
TASK2.............................................................................................................................................5
P3. Comparison of two organisations regarding marketing mix to marketing planning process
TASK 3............................................................................................................................................8
P4. Evaluation of marketing plan................................................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Marketing is an activity of creating, promoting and distributing of goods and services
form sellers to customers. It is a set of institutions who involves in exchanging offers that have
value for customers, clients and society at large (Dibb and Simkin, 2013). Marketing essential
includes demand and supply, marketing mix , customers, supply chain, competition etc. It is
important to analyse these essentials for better growth and success. McDonald's is an American
fast food company which was founded in 1940 which deals in food and beverage. it is second
largest fast food organisation in the world. This report covers role of marketing and its
interrelation with other business units. It also discussed current and future trends in marketing
with an overview of marketing process. Implementation of marketing mix into marketing
planning process under two different organisations for achieving business objectives are
discussed in this report.
TASK1
P1. Roles and Responsibilities of Marketing Function
Marketing is an area where large number of buyers and sellers are get together to buy or
sell goods and services. There are four concept in marketing: production concept which deals
with production, selling concept which deals with sales, marketing concept focus on need of
target market and societal concept deals with well being of society. McDonald's is public
company which deals in food and beverage has to focus on customers demand for increase profit.
Current marketing trends are essential achieve sustainable success for any organisation.
McDonald's is also using current trends like video and authentic marketing voice. Now a days,
most of companies using social media marketing in which they advertise and sale their products
on social sites. Online marketing is also very popular as per current scenario.
As per future trends art and science are the keys to successful content marketing.
Customers will start to observe artificial intelligence and its effect on the global market. Brands
will build by loyalty with reliable storytelling. McDonald's should also focus on customers
demand and adopt digital marketing for retain long term in the market with maximum
profitability (Baines, Fill and Page, 2013).
Overview of Marketing Processes
1

A sequence which identify the need of customers and make strategy regarding the
product and services and to beat competition is known as marketing process. There are mainly
four steps in marketing process, which are as follows:- Situation Analysis- In this process situation of a market is to be analysed by McDonald's
and identify their opportunities to satisfy customer's needs and marketing environment. Marketing Strategy- After analysing the situation, McDonald's should make strategy to
cover maximum area and beat competition by launching new products with unique
features. Marketing Mix Decision- In this process, McDonald's should focus on 7Ps of marketing
like product development, distribution process, pricing decision, promotional techniques
etc.
 Implementation and Control- After completing above steps, McDonald's have to
implement plans for action and control the activities which create barriers in success.
Roles and Responsibilities of Marketing Function
In the context of McDonald's there are following roles and responsibilities of marketing
manager of McDonald's which are mentioned below:- Selling- Manager of McDonald's have responsibility to decide selling criteria by
identifying the customers needs according to geographical area (Baker and Magnini,
2016). Company has to focus on their objectives and increase sales by personal
communication with consumers in order to identify their needs and satisfy those desire
with provide them quality products and better services. Financing- It is an important function of marketing as well as finance department to
prepare a finance budget for conducting marketing activities. It is necessary to obtain
finance to bear production cost and other expenses. Manager of McDonald's make a
strategy to raise their funds form different sources and minimise the cost of production
with gaining more profit. Promotion- There are different promotional techniques in the function of marketing.
Organisations have to use those techniques which helps to increase sales and attract more
customers (Clow, and James, 2013). It is a responsibility of manager to Communicate
information to potential customers through advertising on television, newspapers, social
2

media and other promotional techniques to promote them to buy the McDonald's
products and services. Research and Development- Marketing research is an important responsibility for the
manager of an organisation. It helps McDonald's to determine opportunities for growth
by analysing the need of customers (Desai, 2013). It also helps to analyse competitors
strength and weakness through which they can make strategy to protect their firm with
existing customers with proper development of their employees. Marketing Information System- In MIS, manager play an important role to collect
information of market condition and use them in the improvement of their business
activities and decision making process. It helps McDonald's enhance their improve their
productivity as well as profitability. Purchasing- It is an essential role of a manager to make planning regarding to purchase
raw material and other equipments for production of goods and services. Marketing
manager of McDonald's has to determine that material should be purchased with low
prices.
 Distribution- Another function and responsibility of marketing manager is to distribute
products to potential customers in different areas. McDonald's provide a service to their
customers to order food online and they delivered their product at a particular location
decided by customer.
P2. Marketing inter relation with other departments
Marketing departments is an important essential for every organisation because it can
grow and expand their products in market and increase profits of any business. McDonald's
marketing department adopt effective strategies to attract customers towards their products.
Marketing department of McDonald's think from the consumer's point of view because it want to
satisfy the need of customers. It is a responsibility of all the departments to give their
contribution in growth and success of a firm (Griffitts, 2016). Here the description of inter-
relationship of marketing division with other departments are as follows:-
Marketing with operational/ production department:- Operational department doing
many activities like product packaging, distribution, warehousing and manufacturing of
commodities, and generated services etc. (Kongstvedt, 2012). In this company, need of
marketing department to work in corporation with production department to ensure that
3

 adequate development and research is planned to fulfil present and future consumers
needs.
 The volume of orders created by marketing can be met inside the time plan or schedule
necessary for delivery.
 The items of foods can be manufactured to the design and quality description laid down
by the customers.
Marketing with human resource department:- Human resource management is a
function of recruitment, selection, training and development of employees, compensation
management etc. and other functional activities include employee motivation, performance
management, health and safety and other legal feature of human resources. So, McDonald's
marketing department use HR division for recruiting the best marketing assistant and marketing
people who has all market knowledge of advertisement and marketing works. And create an
competent and ambitious sales team. This company use advertisement on higher level for attract
the customers.
Marketing with finance department:- This section manage all the financial function of
this company. They make budgets for all activities. They manage the cost and prices of all
function like production cost, advertisement cost, sales cost, maintenances and many other cost.
Marketing section need to work with the financial division to ensure that- there is an adequate
budget to meet the needs for promotion, distribution and research.(Lane, 2015). So, McDonald's
can build market stocks and increase sales volume.
Marketing with information technology department:- In this, technology include
information system, computer hardware, programming language, websites, internet and
computer software. Internet and websites are also use for providing information to the
consumers. So, people can easily interact with the goods or products and more significantly
people start to improve long-term relationship with the company. (Nguyen and Simkin, 2012).
Information technology support and help the basis of customer relationship management.
Intranet supplies up-to-date data to employees and workers of the business and other
stakeholders of the company. An extranet provides data directly to the clients, distributors and
consumers. Consumers can check price of products and other details.
Marketing with research and development department:- Research and development
division generates new thought, creating and innovation new service and products in McDonald's
4

company. Marketing department need to research department for generating new ideas in
products. So, that manufacturer can produce the products in different way then product can
compete the other products in marketplace. Research should be driven by concept of marketing
(Papasolomou and Melanthiou, 2012). Research and development department should be
considered consumers in mind while innovating and creating the products for satisfying the
consumers needs and wants. Also research on distribution channel and place in order to deliver
products more effectively and efficiently to the consumers.
Value and importance of marketing role:
Marketing is an important component of McDonald' success. In this include many
importance factor which are as under:
Marketing helps in exchange, movement and transfer of goods: Goods and services are
made easily available to consumers through various mediator like retailers and wholesaler. It is
helpful to both customers and producers. It tells about the particular preferences and needs of
customer and to the latter about the commodity that producer can offer.
Marketing is helpful in maintaining and rising the standard of living: Marketing is the
delivery and creation of standard of living to the community. It is provided goods and services to
the consumers at a reasonable price. From latest marketing technology, they also provide goods
to the poorer section at a reasonable price.
Marketing creates employment: The main marketing functions are financing, selling,
buying, warehousing, transport, standardisation and risk bearing etc. These all different functions
are performed by a large number of bodies and individuals. Thus, it is provide employment to
many individuals.
Marketing as a source of revenue and income: Marketing gives many opportunities to
earn maximum profits in the operation of selling and buying of commodities, possession and
place utilities, and by creating time. Marketing is only way in which could generate income or
revenue and convey in profit.
Conclusion:
Inter relation of marketing department with other departments are very important because
each department's activity has a potential effect on consumers satisfaction. In this concept, all
department need to work together to satisfy the consumers expectations and needs.
5

TASK2
P3. Comparison of two organisations regarding marketing mix to marketing planning process
Marketing mix is a set of action that company uses to promote their product and brand
image in the market. It is a combination of 7Ps which are product, price, place, promotion,
people, process and physical evidence (Marketing Mix, 2018). Organisation uses these
techniques at the time of planning process to achieve business objectives. It can be differ from
other organisations. Marketing mix is a set of marketing techniques that McDonald's uses to
achieve its marketing objectives.
(Source: 7P's of marketing mix, 2018)
Difference between application of marketing components of McDonald's and Burger king
There are following differences that two organisations are use different style of marketing
mix to marketing planning process to achieve their objectives.
Basis McDonald's Burger King
Product It is one of the most famous fast food
restaurant. Its selling products are burger,
It introduce new products or
improving the existing
6
Illustration 1: Marketing mix

French-fries, deserts, soft drinks etc. It
provides their customers various options
in food product for example: hotcakes,
egg Mc-muffin, Hash brown etc. Which
are beneficial to earn maximum profit
and achieve its objectives.
products. Its offers many
products like hamburgers,
cheeseburgers, Fries, Onion
rings, Coffee, Shakes, cookies
etc. Burger king uses this
technique of marketing mix
and focus on their products and
services to achieve its
objectives.
Price McDonald's use a broad range of pricing
methods to sale their products. Different
price options are available to customer as
per product size and ingredients. It focus
on every types of customers and decrease
their product's price low by reducing cost
of production. McDonald's uses price
bundling strategy. In this strategy, they
offer combo in which burger, fries and
soft drink are included and charge prices
of all three.
Burger king uses competitive
pricing technique because
there is high competition from
McDonald's. It has been
closely monitoring and
evaluating their pricing policy.
There are various customers
belong to different income
level so price of food products
are vary from easily
approachable from low to high
range.
Place Place refers to the area of distribution of
goods and services. McDonald's make
strategy of distribution in different
countries (Pappas, 2017). For example:
in some countries it offers home delivery
option which increase sales and profit
through which firm get success.
Burger King has its franchise
almost everywhere in the
world. For example: Europe,
Oceania, Japan, Singapore
South Korea etc.
Promotion There are different promotional
techniques used by McDonald's to
It includes various ways of
communication techniques
7

increase sale and achieve business
objectives. For example: it uses
television, newspaper, internet and other
media to communicate with customers.
Its main focus to target children's small
toys which are given along with meal
and also offer discount coupon on certain
products.
with customers. For example:
Advertising, print media, news
agencies etc. it is useful to
aware customers about their
products and increase sales
which helps to earn more profit
and achieve organisation's
objectives.
People There are so many people who work in
McDonald's in UK. For example: Most
of restaurants are owned by the local
businessmen. McDonald's invest very
high amount on training and
development of employees because
human resource are the strength for any
company which helps to achieve its
objectives.
People refers to the customers,
employees, management and
every other person who are
involved directly or indirectly
with burger king (Pike,
2015). Reputation of any
organisation have in the hands
of customers. For example:
support of employees and
customers is necessary to
achieve success.
Process It refers to a set of activities which is
performed in order to get something.
McDonald's perform many activities
from manufacturing a product to deliver
it to customers. For example: making
food is an important activity in the
overall process of manufacturing. Which
is only source to achieve its objectives.
It is a methods of providing
knowledgable services which
are helpful to the customers. It
can also useful to achieve
objectives if services are
provided in time.
Physical Evidence It refers to the elements of the physical
environment and customer's experience
in McDonald's. For example: the
Burger King has its website
BK.com. It provides
information about organisation
8

interiors of McDonald's are attractive and
the eating place is maintains clean and
hygienic. It make a positive impact in
customers view and helps to achieve its
business objectives (Rancati, Gordini
and Capatina, 2016).
like video history, product
information etc. For example:
brochures, pamphlets.
TASK 3
P4. Evaluation of marketing plan
Marketing plan include overview of company, mission and vision, strategic market
objectives, SWOT analysis, evaluation etc. These are as follows:
Overview of the company: McDonald's is a fast food restaurant. It was founded by
Maurice and Richard McDonald. There are more than 4million employees in McDonald's. It
have more than 35,000 restaurants in over 100 countries (Purvis, 2015). This company serves 70
million consumers each day. It offers a uniform menu that involve the big mac, chicken nuggets,
chicken sandwiches, quarter pounder with cheese, fries, hamburgers, wraps, salads, soft drinks,
desserts and other beverages. Its main competitors are Wendy's and Burger king (An overview of
McDonald's, 2018.). This company delivers an experience to its consumer via its trademark
“service, values, cleanliness and quality.” This company have owned 19% restaurants and 81%
of this company's restaurants are franchised.
Mission & vision: Its main mission is to be its customers' favourite way and place to
drink and eat. Its vision is to serve delicious food every day to its consumers and become more
and more batter McDonald's.
Objective: They want to “Increase profit in 12 months by 10% through launching new
product I.e. soft drink that is health conscious for consumers”.
Segmentation: This new soft drink is based on demographic or age group. Soft drinks are
available for different different age group.
Targeting: This new soft drink is health conscious for each age group.
Positioning: Its using value-based positioning strategy mean provide quality product and
drinks to the consumers.
9

SWOT analysis: In SWOT analysis include strength, weakness, opportunities and threats
of the company. This describe that how they deal with its competitors and gain advantages.
Strength Weakness
 World wide-Brand equity.
 Good Balance sheet position.
 Consistency.
 Overseas market.
 Weak product development.
 Slowed income growth and revenue.
 Declining market stock. Taste and
quality of product.
 Disgruntled franchisees.
Opportunities Threats
 International expansion.
 React to social modification through
innovation and provide healthier drinks.
 Use of customer relationship
management(CRM).
 Globally expansion into emerging
markets of India and China.
 focused on corporate social
responsibility, decreasing the affect on
the community linkage and
environment.
 Provide Wi-Fi links to attract new
customers. Joint undertakings with
retailers.
 Over stored industry.
 Changing demographics.
 Variation of foreign exchange rates.
 More health-conscious customers.
 Recession in economy impact on
retailer sales.
 Strength of competition.
Marketing Budget:
Marketing budget
Particulars 1st year 2nd year 3rd year 4th year 5th year
Initial money 4000 6500 10000 12500 16500
10

Investment 10000 21500 28000 8500
Total 4000 16500 31500 40500 25000
Marketing outlay
Promotion 4500 2200 5300 3300 3900
Sales publicity 1800 1600 2500 2900 1200
Direct selling 3200 1500 4500 2500 3650
Total 9500 5300 12300 8700 8750
Monitoring and controlling: After all these process, McDonald's evaluate all activities
and performance of employees. In evaluating and controlling include review, track, identify the
region in which alteration to the idea are necessary and initiate the similar changes and
coordinate the performance and progress. Controlling is a key component of its sustainable
company's success (Pike, 2016). For efficiently and effectively management, necessary various
control techniques. This company choose bureaucratic method for effective and most workable
controlling on affairs of the business. This control is known as a top-to-bottom technique.
Managers attempt to impact employees behaviour through incentive and punishment in respect
their working action. McDonald's bureaucratic method is easily spotted in each individual outlet
of this large series fast food wholesale in any place over the world.
CONCLUSION
As per the above mentioned report, it can be concluded that marketing is very essential
key for any business. Marketing is a department which is affect all the other administrative
division of the company. It is established an effective relation among different departments who
is help in achieving goals and targets of the company. They increase their loyalty towards
customers and satisfy the needs of people by providing fresh and health conscious foods and
drinks. They made effective marketing plan for launching new product which is health conscious
for customers.
11

REFERENCES
Books and Journals
Dibb, S. and Simkin, L., 2013. Marketing essentials. Cengage Learning.
Baines, P., Fill, C. and Page, K., 2013. Essentials of marketing. Oxford University Press.
Baker, M. A. and Magnini, V. P., 2016. The evolution of services marketing, hospitality
marketing and building the constituency model for hospitality marketing. International
Journal of Contemporary Hospitality Management. 28(8). pp.1510-1534.
Clow, K. E. and James, K. E., 2013. Essentials of marketing research: Putting research into
practice. Sage.
Desai, S. S., 2013. An Analysis of the Competitive Marketing Strategies of the Hospitality
Industry in UAE. IUP Journal of Management Research. 12(1).
Griffitts, M., 2016. Human resources marketing and recruiting: Essentials of internship
management. Handbook of Human Resources Management. pp.103-118.
Kongstvedt, P. R., 2012. Essentials of managed health care. Jones & Bartlett Publishers.
Lane, P., 2015. Human resources marketing and recruiting: essentials of employer branding.
Handbook of Human Resources Management. pp.1-30.
Nguyen, B. and Simkin, L., 2012. Fairness quality: The role of fairness in a social and ethically
oriented marketing landscape. The Marketing Review. 12(4). pp.333-344.
Papasolomou, I. and Melanthiou, Y., 2012. Social media: Marketing public relations’ new best
friend. Journal of Promotion Management. 18(3). pp.319-328.
Pappas, N., 2017. Effect of marketing activities, benefits, risks, confusion due to over-choice,
price, quality and consumer trust on online tourism purchasing. Journal of Marketing
Communications. 23(2). pp.195-218.
Pike, S., 2015. Destination marketing: essentials. Routledge.
Pike, S. D., 2016. Destination Marketing Organizations–Research opportunities in an era of
uncertainty. In Book of Abstracts-6th International Conference on Tourism.
International Association for Tourism Policy (IATOUR).
Purvis, J., 2015. Human resources marketing and recruiting: Essentials of digital recruiting.
Handbook of Human Resources Management. pp.1-19.
Rancati, E., Gordini, N. and Capatina, A., 2016. Conceptualizing and Measuring Content
Marketing in Luxury Firms: An Exploratory Analysis. In Global Marketing Strategies
for the Promotion of Luxury Goods (pp. 109-132). IGI Global.
Online
Marketing Mix. 2018. [Online]. Available
through<https://economictimes.indiatimes.com/definition/marketing-mix>./
An overview of McDonald's's. 2018. [Online].Available
through<https://finance.yahoo.com/news/must-know-company-overview-mcdonalds-
185841237.html>./
12