What Constitutes an Islamic Retailer?

The provided content is a collection of academic articles and book chapters that focus on various aspects of marketing, including Islamic retailing, online social networks, ethics, and sustainability. The articles explore different principles and practices of marketing, such as value co-creation, marketing education, and the importance of ethics in marketing. Additionally, there are references to real-world examples, such as Blue State Coffee's marketing strategy and a study on the principles and practices of marketing.

PRINCIPLES AND
PRACTICES OF
MARKETING
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TABLE OF CONTENTS
Introduction.....................................................................................................................................3
Task.................................................................................................................................................3
Q1 Preparing and Justifying range of marketing objectives .......................................................3
Q2 Preparing a detailed marketing strategies for introduction of new products and services....4
Q3 Explaining various methods for designing marketing budget...............................................8
Conclusion.....................................................................................................................................10
References.....................................................................................................................................11
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INTRODUCTION
Principles and practices of marketing involves a range of processes of finding out the
needs and wants of the customers. Process considers various steps such as product design,
promotion, development, research and customer services. Proper principles and marketing
practices assist in developing effective marketing plans for the enterprise (Principles & practices
of marketing, 2016). Blue State Coffee is a US based coffee shop which was established in the
2007 in Providence city, United States of America (Blue state coffee, 2016). Further, the report
will include preparation of strategic plans to launch new coffee shop product in the London, UK.
Firstly, various marketing objective are to be prepared and justified in the report. After that a
detailed marketing strategy will be prepared for new product and services. At the budget will bee
prepared in the report for allocating and monitoring the marketing resources.
TASK
Q1 Preparing and Justifying range of marketing objectives
In order to expand coffee chain in UK the Blue Star Coffee is required to prepare certain
time based plans (Coduto, 2015). Those plans will help the company in assuming various needs
and requirements of customers in UK as well as will also helps in fining out the financial need of
the company. Various smart objective can be prepared such as : Increasing companies sales by 10% within 1 year- First smart objective set by the
company is to increase its revenue by the 10% of what they were earning before. This
will help in increasing the sales and profits of the firm. In order to achieve this objective
the manager of the coffee store will put its 100% efforts towards increase in the sales.
This will ensure increase in effectiveness, quality and efficiency of the store. Also will
lead to increase in the collaborations between the workers. To achieve 10% market share of UK- Another smart objective set by the Blue Star
coffee chain is to increase its market share by 10% within the time frame of 4 years. In
order For achieving these objectives the coffee shop is required to plan its activities
accordingly (Kasap, 2013). Firstly, it is required to assure the need and wants of the
customers by the help of using close and open ended surveys. This will help the Blue Star
coffee shop in knowing the actual requirements of the people in UK. Secondly, t come up
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with creative ideas related to the store designs, grocery items etc. They planning to open
their stores in colleges. That means the main target of Blue star is teenagers. The blue
Star is required to come up with the innovative ideas to attract teenagers of UK towards
its stores. In order to increase the market share by 10% the manger of the shop has to pre
plan for various promotional strategies etc. to penetrate its coffee shop in the heart of the
people living in UK.
 Increase the percentage(20%) of customers in 1st year- This is another objective set by
the Blue Star coffee shop for its expansion in UK. For achieving the target of customers
in UK by 20% . This will ensure the manager of the store to give its 100% in promotion
of the store. To attain this target the Blue Star coffee shop has to adopt strong pricing and
promotional strategies to increase its number of customers in UK. This is because there
many coffee chains situated in UK already which are on the list of the people in UK. In
order to lead those coffee shops of UK the Blue Star is required to adopt various
strategies to penetrate itself in the UK market (Boulton and et.al., 2013).
Q2 Preparing a detailed marketing strategies for introduction of new products and services
Various elements of marketing mixes is required to incorporated for the expansion of
Blue Star coffee shop in UK.
 Product- Product is a item that the enterprise in selling and earning from. If the company
wants to penetrate its product in new market then it is required to perform research and
development programs as well as designing of products is to be done. This will help Blue
Star Coffee shop incorporating its business in UK the Blue Star coffee shop is required to
research for the needs and wants of customers over there. Research of needs and wants is
essential because there is lot of competition in the market. There are already thousands of
coffees shop doing business in UK (Lucas, 2013). In order to attract customers towards
their shop they need to produce products at lower prices then its competitors.. The coffee
shop is required to consider its various factors in relation to its products. That are
functions, appearance, packaging and services etc. The Blue Star coffee bar can
implement attractive packaging of the groceries for its new expansion. Also it can look
forward to the attractive shops which will attract the customers.
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 Price- Prices has direct connection with the demand and supply of the products. Price is
basically the amount which its pays in the return for its enjoyments. It plays a vital role in
the marketing mixes as it determines the firms survival and profits. Specially the
companies who are new in the market is required to consider this pricing strategies. Same
with the case of Blue Star coffee shop has to consider various pricing strategies as it is
new to the UK market. While setting up the prices of its products should be lower then as
compared to the its competitors (Meynhardt, Chandler and Strathoff, 2016). This will
make less profit but may help in increasing its market share and number of consumers.
Those are some of the important time frame objectives set by the Blue Star. While
considering good pricing strategy the coffee shop can go for market penetration,
skimming as well as neutral pricing strategies. Where price skimming refers top to the
low market penetration an high premium strategies for the premium products. Market
penetration refers to following lower prices then its competitors in the market for
deliberating control in the market. This helps he Blue star in quickly attaining the market
share of UK. While preparing a good pricing strategy for the coffee shop the manager is
requires to consider various market aspects. Those are How much the cost is to produced
for the product?, what is the customers perceives product value etc.
 Place- This is another important part of the marketing mixes that is to be considered by
the organisations. For positioning and distribution of the products in the place convenient
for the customers. Same with the case of Blue Star coffee shop it has to consider
positioning and distribution targets so that the consumers can reach towards its products.
With the help of distribution strategies the following organisation will be helpful in
placing its product as per the convenience of its products seekers. Blue Star coffee shop
can go for various distribution strategies those are intensive, exclusive,selective
distribution strategies (Iqbal, Edwards and El-Gohary, 2014). As well as can also go for
franchising distribution strategies. While developing a convenient distribution policies
the company is required to consider various point such as looking for various convenient
option where the customer can easily reach to the products of Blue Star. The main target
of the Blue Star coffee shop is the teenagers. To reach teenagers studying UK the
respected small sized enterprise can open up its coffee shops at various college cafeterias
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as well as the streets where teenagers loves to hangover with their collogues and friends.
It can also target teenage people by opening its coffee shops in malls and multiplexes etc.
This will help in increasing the demand of the customers and will also lead to increase in
the market share and customer in UK. Also it can look forward to the needs of strong sale
force and also if it need to attained any trade fairs etc.
 Promotion- Promotion is also a import part of market as it helps in increasing the brand
recognition and sales. Promotion can include various elements those are public relations,
sales organisations, advertising. It can also include sales promotion activities for the
promotion of new product into the market. Advertising include various communication
methods such as television adds, radio commercials, internet and print media
advertisements etc. (Haase, 2015). All these products will help Blue Star in the
promotion of it products. It can also go for public relations such as press releases,
exhibitions, seminars. Blue Star can also go for Word of mouth which is a type of
informal communication sources. This source further helps in communicating the
features and benefits of products that further help in increasing the customer satisfaction.
The following promotional tool can become a effective and potential as they play
important role in boosting the profits.
Along with these marketing mixes the Blue Star coffee shop can also go for implementing
additional marketing mixes such as:
 People- Blue Star coffee shop is also required to consider people in its marketing mixes.
People refers to the employees working for the shop. In this the organisation is required
to analyse that the existing employees are enough for the firm or not ad if yes then how
many employees are required to be employed to achieve the pre determined objectives.
Service staff plays a important roles in promotional activities such as public relations and
word of mouth (Singh, 2013). This marketing mix refers to the training and development
of the right people for enhancing the customer satisfaction. In case of the Blue Star it
should employ UK people in its shops that will help in enhancing the number of
consumers of the shop. As they are familiar with the UK environment and know what
people wants over there in London.
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 Process- The system is required to be effective as it leads towards execution of services
which ave direct impact on the demand of products. It makes important for the firm to
acquire well-tailored process for minimising the costs. It also focus on the entire pay,
distribution, sales funnel, systematic procedure etc. for the company. Similarly with case
of the Blue Star it as to ensure its entire process is clean and safe as well as leads to
minimising of cost. Also Blue Star process is needed to think regarding the systemic
procedures, well tailored process etc. to improve the sale and achieve the desired
objectives in predetermined time (Denys and Mendes, 2013).
 Physical Evidence- This is another important part of the store that it is required to
present physical evidences in relation to the services provided. It also help in pertaining
the that how business enterprises products are perceiving in the marketplace. The B;use
Star is required to implement physical evidence in the new expanded market. This will
help it in pertaining its products value in the market places (Njuki and et.al., 2014).
Extended marketing mixes are required to be implemented as follows:
Vision- Vision of Blue Star Coffee shop is to expand its chain in new markets that is UK.
It vision is to reach to hearts of the teenagers of UK (Blue state coffee, 2016).
Objectives- For expanding its chain in UK it has assumed certain objectives to be
achieved in future. Certain objectives are to achieve 10% market share of UK, increasing
companies sales by 10% within 1 year and increase the percentage(20%) of customers in 1st
year. These are the following objectives which are to be achieved by the Blue Star Coffee shop
in UK (Blue state coffee, 2016). In order to achieve these objectives the Blue Star have to
consider additional marketing mixes:
People- People is a front face of the company a they directly deals with the customers. For this
the organisation is required to select and train its employees to achieve the targeted objectives.
For this they can go with providing trainings and also is required to employ people of UK. This
will help the Blue Star in understanding the needs and demand of the customers. Also local staff
will helps in greeting the way in which UK people like to get greet off (Sultana, Nagasuvarchala
and Pranathi, 2016). Also the the Blue star has to consider that the its products are well as the he
staff will get the commission. Blue Star coffee store can provide its people well tailored uniform
which will lead to more creativity in the coffee shop environments Compensation should be
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accordingly customized as the people are the front face and also can opt policy of employee of
the month. This will add enthusiasm and friendly environment in the coffee shop.
Process- Process is related to the services provided for the customers. Services should be
friendly and attractive which helps in achieving the customer satisfaction. Customer satisfaction
further leads to the strong customer base and loyalty. With help of strong customer base and
loyalty brand image of the shop will also increase (Bakar and HUSSIN, 2013). For this the Blue
Star is required to consider various effective steps in its process to improve sales and profits of
the firm as per the desired objectives. Process may involve ways of greeting customers, tables to
be cleaned after every customers. The Blue Star is also required to mange its customers by
purchasing funnels. By considering all these process factors the Blue star is required to train its
staff effectively. So that it can provide unforgettable experiences to its customers. For fulfilling
the pre determined objectives of the Company it has train its staff regarding greeting, cleanliness
etc.
Physical Evidences- Physical evidences is a promotional tool and is essential to be adopted by
the coffee shops. This promotional tool helps in selling tangible items and makes assure people
that what they actually are getting in return of their money. It gets more important fort the
organisation because it leads to the increase in the brand value of the enterprise whether it is
small or large enterprise. Physical evidences includes brochures, customer testimonial, portfolios
etc. In case of Blue Star it is required to maintain a menu card depicting all its product along
with its products along with ingredients along with its prices. So that the customers will not feel
exploited that regarding prices (Perera and Hewege, 2016). This will help in achieving the
predetermined goals of increasing market share buy 10% and increased in the sales revenues of
the firm. It will also enforce in increasing the number of customers to the Blue Star.
Q3 Explaining various methods for designing marketing budget
Blue Star Coffee shop can prepare budget with the help of following budget methods:
 A percentage of revenue- This budget method is mostly applied by the new companies
or the companies expanding in new market. Because it plays a direct relationship
between marketing and revenue generation. This methods can be categorized into
dimensions. First, A percentage revenue method is a method through which the company
estimates its cash requirements by considering revenue, expenses etc. It also helps in
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creating income statement. Secondly, a percentage of revenue leads to the promotions
and advertisements of products (Dennis, 2014). In the cost of advertising is assumed as
well as also look forward to various adaptive control etc.
 Task-oriented- In this budget method the budget is prepared by simply totaling up the
cost of marketing activities in next year. It helps in analyzing the investment
opportunities that could occur in future. Different business structures have different
budget structure (Coduto, 2015). It also helps in assuming in advance that the investment
will provide enough return or not to the investors. This leads to non accuracy as because
it is difficult to find accurate value that each vendor should charge is complete
impossible. Also it does not much improvements in the strategy during the whole year.
 Competition Oriented- In this budgeting strategy the company planning for new market
first look forward to their competitors. They follow their budget as they think ion order
give then competition they have to follow the same requirement. So they look towards
the investments of their competitors and make budget accordingly. Here the enterprise
may get challenge as to find accurate definition over here is difficult. As well as it leads
to the dependency on the competitive industries and also do not know that the figures are
correct or not (Boulton and et.al., 2013).
 Random Allocation- This budgeting method does not require and plan or justification to
be done. It is one of the popular budgeting method used by the companies where
marketing is an after thought. In this method of budgeting management team randomly
picks numbers as per their conveniences for preparing budget. This is an irreverent form
of planning budget and one come should avoid it as much as they can.
 Hybrid Method- It is outlined on the basis of various principles for preparing a realistic
marketing budget. In other words, this approach considers whole business rather of
considering a single departments needs (Lucas, 2013). It is based on the practicality that
is how much a firm can spend y considering its competition.
A percentage of Revenue has been selected as a method for preparing budget because of the
following reasons:
Percentage of revenue method helps in allocating resources from 1- 10% of the profits. In
this as mentioned above 5% of the revenue generation will be further invested in the marketing
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practices. As mentioned above the this budget is meant for the those companies who are
targeting new markets (Haase, 2015). For example the Blue Star is targeting the market of UK
teenagers. Had planned various objectives in which it has taken that 10% of increase in the
revenue generation. 5% of the revenue generation will be invested in the marketing activities for
further increase in the sales and umber of customers in the firm.
CONCLUSION
This report is based on the marketing principles and practices of Blue Star Coffee shop.
Range of marketing objectives have been prepared and justified in the report. Such as increase
the percentage(20%) of customers in 1st year, increasing companies sales by 10% within 1 year
and to achieve 10% market share of UK. Various elements of marketing mixes have been
incorporated for the expansion of chosen firm in report. Element were product, price, place,
promotion. Also the report include extended marketing mixes which were people, process and
physical evidences. At last various budgeting method have been explained in the report such as a
percentage revenue, hybrid, task- oriented, competition oriented etc. Also selected A percentage
of revenue ,method for preparing budget in Blue Star Coffee shop.
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REFERENCES
Books and Journals
Bakar, A. R. A. and HUSSIN, S., 2013. What Constitutes an Islamic Retailer? Islamic Store
Attributes From the Perspectives of Islamic Marketing Principles. International Journal
of Sales, Retailing and Management. 2(1). pp.74-84.
Boulton, R. B. and et.al., 2013.Principles and practices of winemaking. Springer Science &
Business Media.
Coduto, D. P., 2015. Foundation design: principles and practices. Prentice Hall.
Dennis, J., 2014. Designing relevant marketing curriculum: The state of the nation. The
Marketing Review. 14(1). pp.49-66.
Denys, V. and Mendes, J., 2013. ONLINE SOCIAL NETWORKS AND NEW MARKETING
APPROACH/AS REDES SOCIAIS E NOVAS ABORDAGENS DO
MARKETING/LAS REDES SOCIALES Y NUEVOS ABORDAJES DEL
MARKETING. Egitania Sciencia. (12). p.209.
Haase, M., 2015. The cooperation of marketing theory and the ethic of responsibility: an
analysis with focus on two views on value creation.Handbook on Ethics and Marketing,
Cheltenham, UK/Northampton, MA: Edward Elgar. pp.125-149.
Iqbal, T., Edwards, D. and El-Gohary, E., 2014. TQM and Modern Marketing in Developing
Countries-Theoretical and Conceptual Frameworks.International Journal of Business and
Social Science. 5(6).
Kasap, S. O., 2013. Optoelectronics & Photonics: Principles & Practices: International Edition.
Pearson Higher Ed.
Lucas, A., 2013. To what extent is marketing essential to the sustainability of maternity services
within East Cheshire.
Meynhardt, T., Chandler, J. D. and Strathoff, P., 2016. Systemic principles of value co-creation:
Synergetics of value and service ecosystems. Journal of Business Research.
Njuki, E. O. O. H. M. and et.al., 2014. Analysis of marketing communication tools and sales
performance in business organizations in Kenya. A case of public service bus companies
in Mombasa. Analysis. 6(26).
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Parker, B. J., 2014. Innovating the marketing curriculum: Establishing an academic major in
internet marketing. Atlantic Marketing Journal. 3(2). p.13.
Perera, C. R. and Hewege, C. R., 2016. Integrating sustainability education into international
marketing curricula. International Journal of Sustainability in Higher Education. 17(1).
pp.123-148.
Singh, S., 2013. Organic Products: Marketing Practices and Problems in the Plains and Hilly
Regions of Uttarakhand. Indian Journal of Marketing. 43(2). pp.37-49.
Sultana, A., Nagasuvarchala, C. and Pranathi, K., 2016. A Study on Ethics and Social
Responsibility in Marketing. International Journal of Innovative Research and
Development. 5(2).
Online
Blue state coffee. 2016. [Online] Available: <https://bluestatecoffee.com/>[ Assessed on 6th May
2016]
Principles & practices of marketing. 2016. [Online] Available
Through:<http://smallbusiness.chron.com/principles-practices-marketing-68882.html>
[ Assessed on 6th May 2016]
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