Contemporary Marketing Issues: Marketing Mix Impact and SWOT Analysis

This essay provides an in-depth analysis of the marketing mix (product, price, place, promotion) and its impact on the success of marketing activities, using Nestle as an example. It discusses the nature and importance of the marketing mix, including its role in new product development, business improvisation, differentiation, and portfolio enhancement. The essay also examines SWOT analysis as a marketing theory and its practical application within Nestle, highlighting the company's strengths, weaknesses, opportunities, and threats. The conclusion recommends that companies pinpoint their target market and outline goals to improve marketing activities and customer satisfaction. Desklib offers this and many other solved assignments to aid students.

Contemporary issues in marketing

Marketing
Table of Contents
Introduction......................................................................................................................................2
Nature of Marketing Mix.................................................................................................................2
Importance of Marketing Mix.........................................................................................................3
Marketing Mix and its impact on the success of marketing activity...............................................5
SWOT ANALYSIS as marketing theory.....................................................................................5
Example of the Nestle Company in reference to the marketing theory (SWOT ANALYSIS)...6
Conclusion/ Recommendation.........................................................................................................7
References........................................................................................................................................8
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Introduction
In this paper, the discussion will be made on the concept of "Marketing Mix". It has been
observed that it is important for the companies to consider marketing mix concept as it can help
in attaining success in the highly competitive market. Marketing Mix is one of the marketing
tools that are used by the companies to pursue its marketing objectives. The concept also covers
the four broad levels in context to the marketing decisions such as product, price, place, and
promotion. This concept also affects the marketing activity which directly focuses on the
satisfaction level of the customers (Abril and Rodriguez-Cánovas, 2016). Therefore, this paper
will highlight the in-depth analysis of marketing mix in reference to the other key marketing
theories and its impact on the success of the marketing activity.
Nature of Marketing Mix
The nature of the marketing mix can be defined by considering the major components such as
product, price, place and promotion. One of the best in context to the nature of Marketing Mix
can be of the Nestle Company.
 Product Mix
In this factor, the brief analysis is made of the products which are offered by the company in the
market. In the category of products, it can be observed that there are different beverages, milk
products and chocolates offered to the customers. In the beverage category, Nescafe is one of the
most popular products of the company. In the category of Mil products, Nestle Slim and Nestle
Milk are some of the milk-based products of the company. Nestle also offers chocolate products
such as Kit Kat, Munch, Milky bar and Polo. Two popular brands of the company are Nescafe
and MAGGI and the competitors of the products are also present in the market like Bru and Sun
feast Yippie (Dadzie et al., 2017).
 Price Mix
It can be examined that price determines the sales of the products. The popular products of the
company such as MAGGI and Nescafe are the leaders of the market and the process are set with
higher margins. Nestle pricing strength is related to packaging and consumption-based pricing.
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Nestle focuses on setting the competitive pricing so that it could be easy to attain growth in the
market (O'Cass and Heirati, 2015).
 Place Mix
It determines the place from where the products are delivered or transferred to the customers. For
example: Nestle considers FMCG strategy in context to distribution and also there is a process in
relation to another distribution strategy considered by the company. The process starts with
manufacturing, C&F agent, Distributors, retailers, consumer manufacturing, bulk buyers and at
last consumers (Bahadir, Bharadwaj and Srivastava, 2015).
 Promotion Mix
In this, the strategies are considered that help to promote the products in a highly competitive
market. For example: Nestle promotes the products through different sources such as social
media marketing and also through websites. The company also emphasizes on the sale promotion
by offering discounts and offers to the customers (Kotler and Armstrong, 2015).
Importance of Marketing Mix
It can be said that in the marketing process, marketing Mix plays an essential role. There are
various points that explain the importance of the marketing mix.
 Market Mix assist in new product development
It is evaluated that at the time of designing the existing products, there are different ideas that can
be related to the product that can be designed by the organization. The pricing, place, and
promotions can be different but at the time of designing the new product, it can be easy for the
company to come up with the new ideas in relation to the new product development. For
example: At the time of introducing the MAGGI product, the Nestle company has considered the
idea of new product development in which the management launched different flavors such as
MAGGI OATS and Masala MAGGI Noodles (Chokshi et al., 2016).
 The concept helps to bring improvisation in business
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The marketing mix is one of the effective concepts through which the companies can consider
different techniques and methods which are beneficial for them. By considering the different P's
it can be easy for the company to bring improvisation in the working pattern in the workplace.
With the help of marketing mix concept, it can be easy for the business to improve the functions
and also it helps in considering the decisions which are beneficial for them (Liu et al., 2017).
 Marketing mix assist in maintaining differentiation
It is analyzed that at the time of evaluating the marketing mix of the competitors, there are
various ways that can help in differentiating the products of the company from the competitors.
The competitors can have effective promotions but by evaluating, it could be easy to create a
better promotion for the products offered in the market. Also, in-depth analysis can be made of
the concept of marketing Mix is considered by the companies. For example: Nestle considered
this concept and then brought modification by offering different flavors of MAGGI. It was done
by in-depth analysis through marketing mix and at that time they analyzed that there are also
different companies such as yippee who are offering similar products, so to make differentiation
the company focused on introducing the different flavors in the market (Datta, Ailawadi and van
Heerde, 2017).
 Marketing Mix also helps to boost the portfolio of the products
To enhance the product depth or the product line, the management has to focus on making the
minor changes in the products. The modifications are made in the features of the products, its
pricing and also the promotions considered by the company. So, by making modification in the
process of the marketing mix and its features, it can be simple for the company to boost its
product portfolio, which will directly impact the sales of the company in the highly competitive
market. For example: Nestle has considered the strategy of bringing modification in MAGGI as
there are many controversies that were aroused. So, at that time the company considered the
concept the concept of the marketing mix and modified the MAGGI Product according to the
need of the customers (Jain, Sanbonmatsu and Posavac, 2015). So, in this, it is examined that the
brand portfolio of the Nestle Company has been enhanced.
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Marketing Mix and its impact on the success of marketing activity
It has been observed that the marketing mix is considered as an important tool that helps in
creating the right marketing strategy. Also, it is one of the effective tools that assist in
implementing effective tactics. It can be observed that marketing activities are considered by the
companies so that it could be easy to promote the products and services in the competitive
market. Marketing mix consists of 4P's of the marketing strategy. It is created so that it could be
easy for the company to achieve the marketing objectives by offering the customers with the
value, The 4P's in relation to the marketing mix is related with establishing the position of the
products within the target markets. If an effective marketing mix is not considered then it will be
difficult for the companies to manage the activities at the time of marketing (Baker and Saren,
2016).
The success of marketing activity is related to the marketing mix because marketing is defined as
the sum total of the operation engaged in the efforts to create and sell the products and services
to the consumers. The activities are also designed in reference to a product, pricing, packaging,
selling and promotion. It has been observed that marketing mix helps to offer the right decision
to the management. The marketing activities are designed by analyzing the factors related to the
products, price, place and promotion offered to the customers. By analyzing the needs of the
customers, it could be easy for the company to offer the right product, price and promotion in the
market (Baines, Fill, Rosengren and Antonetti, 2017).
SWOT ANALYSIS as marketing theory
One of the marketing theories that impact the success of the marketing activity is related to
SWOT ANALYSIS. This is one of the effective marketing theories that assist the company to
achieve success by analyzing the different concepts such as Strength, weakness, threats and
opportunities. It is important for the company to evaluate the different factors in relation to the
strength, weakness, threats, and opportunities so that it could be easy to positively impact the
marketing activities. By evaluating these factors, it could be easy for the company to consider the
right marketing strategy. SWOT ANALYSIS is one of the effective business strategies as it helps
in considering the right decisions which are directly influenced by the marketer. The elements
such as strength, weakness, threats, and opportunities, provide the marketers with an opportunity
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to have a better understanding in relation to the business environment (Ahmed and Rahman,
2015)
SWOT ANALYSIS also helps the marketers to maximize the satisfaction level of the customers.
It is noted that by considering the concept of SWOT ANALYSIS it would be easy to have an in-
depth analysis of the internal factors that will help in marketing activity. It is analyzed that the
marketing theory in relation to customer satisfaction is related to the strategies considered by the
management.
Example of the Nestle Company in reference to the marketing theory (SWOT
ANALYSIS)
Nestle focuses on the marketing theory related to SWOT ANALYSIS. In reference to the
strength of the company is related to a strong geographic presence in the market. The company
has a large market share due to which it is easy to achieve growth. Also, the company has more
than 8000 brands under different ranges such as Coffee, breakfast cereals and soups. The
weakness is related to the brand structure in which the company has many brands under the same
umbrella and this creates a conflict of interest. The company is also involved in the
controversies such as Nestle baby formula boycott, child labor suppliers and chocolate price
fixing and these controversies have negatively impacted the marketing activities. Opportunities
in relation to the Nestle company are concerned with expanding the market, boost the income
levels and also to manage the ethical issues, the company focuses on research and development.
The threat faced by the company is high level of competition and also the price of commodities
(Kotler et al., 2015).
Therefore, it can be stated that these marketing theories assist the companies to achieve success
and also it helps the management to consider the right option. With the help of the effective
marketing activities, the customers can easily gain information about the company and also the
satisfaction level of the customers can be boosted effectively. Therefore, it can be said that the
marketing mix should be considered by the company so that it could be easy to manage the
activities of the company effectively (Wu and Li, 2018).
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Conclusion/ Recommendation
It is recommended that to achieve success in relation to the marketing activity with reference to
the customer satisfaction it is important to consider the different strategies, as it helps to manage
the entire activities of the company. It is recommended that the company should pinpoint the
target market and should also outline their goals and budgets so that it could be easy to achieve
success in reference to the marketing activities. If the target market is decided then it will be easy
for the company to bring improvisation in the entire functions of the company. It is also
necessary for the company to outline the goals so that it could be attained effectively. Therefore,
it is concluded that the Marketing Mix is one of the effective processes in relation to the
marketing process. With the help of the marketing mix it could be easy for the company to
consider the right approach and also will help in making appropriate decisions. So, it can be
stated that the marketing mix should be considered so that in-depth analysis can be made of the
different marketing activities. The concept positively impacts the process of marketing as it can
be said that if in-depth analysis is done of the marketing mix, then it will help to maintain the
marketing strategy of the company in the highly competitive market.
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References
Abril, C. and Rodriguez-Cánovas, B., 2016. Marketing mix effects on private labels brand
equity. European journal of management and business economics, 25(3), pp.168-175.
Ahmed, S. and Rahman, M., 2015. The effects of marketing mix on consumer satisfaction: A
literature review from Islamic perspective. Turkish Journal of Islamic Economics, 2(1), pp.17-
30.
Bahadir, S.C., Bharadwaj, S.G. and Srivastava, R.K., 2015. Marketing mix and brand sales in
global markets: Examining the contingent role of country-market characteristics. Journal of
International Business Studies, 46(5), pp.596-619.
Baines, P., Fill, C., Rosengren, S. and Antonetti, P., 2017. Fundamentals of marketing. Oxford
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Baker, M.J. and Saren, M. eds., 2016. Marketing theory: a student text. Sage.
Chokshi, P., Shah, H., Arora, R. and Agrawal, N., 2016. Perception of Consumers towards
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Dadzie, K.Q., Amponsah, D.K., Dadzie, C.A. and Winston, E.M., 2017. How firms implement
marketing strategies in emerging markets: An empirical assessment of the 4a marketing mix
framework. Journal of Marketing Theory and Practice, 25(3), pp.234-256.
Datta, H., Ailawadi, K.L. and van Heerde, H.J., 2017. How well does consumer-based brand
equity align with sales-based brand equity and marketing-mix response?. Journal of
Marketing, 81(3), pp.1-20.
Jain, S.P., Sanbonmatsu, D.M. and Posavac, S.S., 2015. Consumer Tunnel Vision and
Implications for Managing the Marketing Mix. In Cracking the Code: Leveraging Consumer
Psychology to Drive Profitability (pp. 57-77). Routledge.
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.
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Liu, Y., Li, K.J., Chen, H. and Balachander, S., 2017. The effects of products’ aesthetic design
on demand and marketing-mix effectiveness: The role of segment prototypicality and brand
consistency. Journal of Marketing, 81(1), pp.83-102.
O'Cass, A. and Heirati, N., 2015. Mastering the complementarity between marketing mix and
customer-focused capabilities to enhance new product performance. Journal of Business &
Industrial Marketing, 30(1), pp.60-71.
Wu, Y.L. and Li, E.Y., 2018. Marketing mix, customer value, and customer loyalty in social
commerce: A stimulus-organism-response perspective. Internet Research, 28(1), pp.74-104.
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