Marketing Essentials and Functions

The assignment delves into the fundamental aspects of marketing, covering key concepts and the seven primary functions of marketing. It examines the role of marketing in various industries and emphasizes its importance for businesses to succeed. Students are expected to analyze the core functions of marketing and their impact on organizational performance.

MARKETING ESSENTIALS

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1. Roles and responsibilities of marketing function....................................................................1
TASK 2............................................................................................................................................4
2. Roles and responsibility of marketing with respect to wider organisational context. ...........4
TASK 3............................................................................................................................................7
3. Ways in which different organisation apply it marketing mix................................................7
TASK 4..........................................................................................................................................10
4. Marketing plan for McDonald's............................................................................................10
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Marketing is considered as a set of activities that involves creation, communication,
delivery and exchange offer that provides value to all its stakeholders. Over the years marketing
has became more than just a function in an organisations. It is a set of values that and company
implements to make its product reach to a large number of customers (Dibb and Simkin, 2013).
It can also be termed as advertising of products so that its sale would be increased through
potential customers. McDonald being one of the biggest firm in fast food and beverage company
started as a barbecue restaurant in the year 1940 by Richard and Maurice McDonald. It has its
outlets throughout the globe. It is the second largest employer with approx 1.5 million workers
through out the globe. Marketing of its product become an essential factor for its success over
the years. It implements various marketing mix so as to make its marketing strategy powerful
and competitive with other competitors. McDonald have a divisional organisational Structure.
McDonald uses marketing so that customers needs and demands can be understood and provide
product or services hence achieving optimum customer satisfaction. In this report, it is covered

that marketing is essential for an company and its relationship with other functions of an
organisation.
TASK 1
1. Roles and responsibilities of marketing function
One of the most incorrect ways of seeing marketing is that it is just selling and
advertising. It is because, selling and advertising are the parts of marketing .. Marketing includes
much more than these activities (Wirtz, 2012). It is a broader strategic and tactical function that
includes research of market, auditing and analysing, planning, product development, packaging,
pricing and distribution as well as customer service along with many more. It is not just the role
of manager to implement various marketing functions rather it involves each and every
department within organisation. McDonald has a wide range of products and firm has gained
huge success with its marketing only. Staff members of cited firm are responsible to maintain
performance.
It has very wide range prospective and responsibilities (Pike, 2015). Various roles and
responsibilities of marketing include different functional points such as marketing information
management, distribution channel management, product or service management, pricing,
promotion, selling and financing.

Illustration 1: Seven marketing functions
(Source: Marketing function, 2017)
Marketing information management: Every Organisation needs various information
regarding customer needs, competitors and marketing environment. Way of storing of all these
informations is termed as Marketing information management. Company wants is better and
efficient information rather than excess of information. These information helps in decision
making process of an organisation (Malhotra, Birks and Wills, 2013). It consist of people,
procedure, equipment to gather, sort and analyse so as to give decision makers an exact image of
what sort of plans they need to make. McDonald has a system to store, collect, analyse so as to
distribute it to marketers who needs this information. These are very large data base which has a
large set of data that can be used to make efficient plans. It helps organisation to organise data in
an order so that it can be easier to analyse the data. MIM helps in development of strategies for

future marketing plans. Marketing information management provides details that helps to
forecast success or failure of business plans.
Distribution in marketing: Distribution is a process of making product or services
available to the consumers. More efficient distribution system leads to better marketing and
selling of products (Lancaster and Massingham, 2010). McDonald uses proper distribution
system so as to maintain the demand-supply chain. The overall approach to distribute products or
services depends on various factors that include the type of product and demographic
environment in which it is to be served. There are three approaches of distribution which are
like: Mass distribution: This is intensive marketing strategy and used when the product is to be
delivered to mass audience. For example: products of McDonald like coke or burger is
sold through millions of outlets throughout the world. Selective distribution: This approach is taken when only selective outlets have been given
with the responsibility of selling particular product. For example McDonald's pizza is
sold at only selective outlets.
 Exclusive distribution: In this approach, distribution is done at only few stores. Premium
products of an organisation is generally sold through these exclusive distribution system.
Product or service management: It refers to designing, developing, maintaining and
improving product or service in response to marketing opportunity. This management includes
all those necessary steps that is being taken so as to manage or handle products and services of
the company (Peter and Donnelly, 2011). It is the process of changing catalogue of services or
products that a company is offering to its customers. It includes a lot of marketing and sales
procedures. It is important for McDonald to have this management system implemented
throughout its products life cycle. It is vital for the success of new or existing products or
services.
Pricing: In today's competitive world, it has become one of the most essential functions
of any marketing process. Pricing needs to be done seeing the market condition, its competitor’s
pricing of similar product, company’s brand image and willingness of people in buying any of
the firm’s products (Brassington and Pettitt, 2013). McDonald is known for its low priced
products. Hence it attracts large number of people from various sections of society. It is one of

the component of marketing mix. It is always done according to target market selected for the
product.
Promotion: It is one of the marketing mix which is essential for the success of any
product. A good promotion can help organisation in increasing its pre-sale. Promotion includes
all activities that help to reach customers in order to promote the features of product of company.
Its main aim is to ensure that customer gets aware of the product that company has in the market.
It is about persuading consumers that its product is better than all its competitors’ offerings.
McDonald does its promotion by analysing various factors like competition, marketing budget
and target market (Silver, Stevens, Wrenn and Loudon, 2012). Main methods of promotion
includes advertising, public relations and sponsorship along with personal selling, direct
marketing and sales promotion using of which depends on the marketing strategy and budget
available with company.
Selling: It refers to first transaction between the buyer and seller where money is
considered as exchange value for the product or services availed by the consumer. It depends on
the ability of sales person and his skills to make this transaction happen. McDonald sells its
product by an efficient mechanism through its number of outlets.
Financing: It is the life blood of industry or commerce which is essential for every stage
from research to distribution as well as from production to marketing. It facilitates working of all
the departments within organisation (Clow and James, 2013). It is an act of providing funds to
various business activities. Use of finance is important in any organisation. Financing for any
company is of two types Equity and debt. Debt is something that company has to return back and
equity is another name for ownership to the stakeholders. Financing is involved in purchasing of
raw materials to selling final product to the customers. McDonald with its good financial support
and economic condition can invest a lot in production, marketing and promotional purpose.
TASK 2
2. Roles and responsibility of marketing with respect to wider organisational context.
Drucker says that marketing should be seen as a business philosophy in which existence
of any business depends on satisfying consumer demands (Gertner, 2011). It is a strategic

principle which underpins activities of business. It is essential ingredient of cooperate strategies.
Although the marketing function is carried out by marketing team but it involves all other
department thinking also and is decided by taking consensus of every other department. Its role
and responsibility with other organisational department are as follows:
Production or operations management: Marketing helps production department in order
to complete its task according to what consumer wants and in a given deadline, while ensuring
that testing of product is done before hand so that failure of product can be reduced. It helps to
achieve competitive edge (Lehmann, Lehmann, Bengart and Bengart, 2016). McDonald's
marketing department works closely with production department so as to ensure:
 Adequate research and development is carried so as to satisfy current and future customer
demands.
 The product development and production is done according to design specialisation given
by the customers.
 This ensures that supply and demand chain is fulfilled and there is never a deficiency at
the time customer wants product to be delivered.
Finance Department: Finance department is the respiratory system of any organisation. It
ensures all the activities are done within the organisational financial reach (Kennedy and
Parsons, 2014). Marketing team makes its plans according to the budget provided by the finance
department. McDonald has good financial structure and its marketing department has to work
with finance department so as to ensure :
 Appropriate budget is allotted to research, promotion and distribution.
 It provides details that which department will need how much money in order to develop
a product (Babin and Zikmund, 2015).
Human resource management: This department has a role of fulfilling demands like
training, recruiting and selecting throughout the organisation (Papasolomou and Melanthiou,
2012). McDonald has a reputation of excellent service providers that cannot be possible without
excellent staffs. All these process needs money and plans according to which the selection will
be done. Marketing department needs to work with HRM department in a close relation so as to
ensure:
 Suitable employees are being recruited according to the market plans.

 Selection of Staffs that will meet production targets.
 Recruitment of staffs according to new business idea or research purpose.
 To create a ambitious and innovative sales team.
Research and Development: In any company research is important as it is a process of
innovation that is necessary for companies sustainability (Ogunmokun and Tang, 2012).
McDonald research and development team has a motive of developing new products with the
aim of satisfying customer demands. People taste is changing everyday and that will be
evaluated by marketing team. This team works with R and D team so as to ensure:
 New product is developed according to the demand in market.
 Continues up gradation of the existing products as per the consumers needs.
 Development of product according to target market selected.
Customer service: Customer service has a role of handling companies issues at stores or
by phones or emails. As McDonald works in fast food industry hence has a lots of issue that need
to overcome by customer service department (Asaduzzaman, Hossain and Rahman, 2014). Issues
regarding the food quality and taste etc. Marketing team has to work with this department so as
to ensure:
 Best customer service is provided to the consumers.
 That customer service department do not be unaware of any promotional trick used by
marketing department (Oplatka and Hemsley-Brown, 2012).
 Excellent customer service helps marketing department in promoting its products
efficiently.
Administration: As administrative department is the governing body and distributes work
to the various departments. It is the policy making department and has connections with all the
other functional units of an organisation (Ionitã, 2012). Marketing department plays a vital role
in decision making policy hence influencing administrative department in their work.
Administration has a role in changing the organisational structure as per the market demand and
this cannot be done without the help of marketing department.
Information and communication technology: This refers to communication technology
that is being used in a company. This technology helps to ensure the flow of information at
various levels through various mediums (Fox and Wareham, 2012). Efficient use of IT

technology helps company in increasing its efficiency and speed. Any information that needs to
be transferred within the organisation needs to be fast and has to delivered in a proper way.
Marketing department use ICT as tool to manage its connection with all other functions.
McDonald has its outlets through out the globe any any change in the marketing strategy or plans
needs to be delivered at all its stores. Internet or online marketing has increased companies reach
to more number of customers (LIU and WANG, 2010). Any new plans or promotional method
can be communicated to the workers as well as to consumers. Feedbacks from customers are
necessary for companies growth and for future market plans. It can be taken by the use of ICT
(through online comments or feedback page) as it is easy and does not take time. Managing of
these feedbacks is also easier as compared to use of manual methods.
Sales: This department has a role in selling of the products and services. it has a direct
interaction with the customers (Wang, Lee and McLee, 2011). Better sales department leads to
higher profit making of an organisation. Feedbacks are taken by this department and marketing
team works on these so as to make future marketing plans or products. These feedbacks helps in
increasing the product quality. Sales and marketing department works hand in hand so as to
increase the profitability of the organisation. They always effect each others decision making
process.
TASK 3
3. Ways in which different organisation apply it marketing mix.
Marketing mix refers to the marketing technique that helps company in increasing its
product sales. It can also be termed as combination of factors that can be manipulated by a firm
to influence customers to purchase its products (Baker, Baker, Magnini and Magnini, 2016). It is
a set of actions that is used by a company to promote its brand and product in the market. Here
marketing mix of two companies cadbury and macdonald has been compared.
Seven P's of marketing mix:
Marketing mix Cadbury McDonald
Product It has a wide range of products
to offer like different kind of
chocolates, beverages like
This company sells its wide
range of products like
hamburger, smoothies, Big

Bournvita, biscuits like oreo
and various mouth freshners. It
is leader in world market of
chocolate. Its products
generally has milk additive. It
has both nutritious as well as
non nutritious food items.
Mac, cheese burger, chicken
sandwiches, mac flurry
desserts, nuggets, French fries,
soft drinks, coffee, Oat meals,
shakes, wraps etc. company
has announced to increase the
nutrition contents in its
products.
Place It is present in all 7 continents
with 200 countries in its reach.
It generally sells its product in
open market. It has a large
number of suppliers in
millions of shops. It has its
main selling in urban areas
while slightly weaker sale in
sub urban and rural areas. It
imports its cocoa beans from
Ghana and make its chocolate
in Bournville, England.
There are approx 37000
restaurants in all over the
world in approx 119 countries.
It has its presence in both
urban as well as rural areas.
McDonald choose best public
places for opening of its
outlets so as to sell its wide
range of products. They have
quality restaurants in places
like Airport, malls, colleges
etc. McDonald do not sell its
product through other vendors
generally it uses its own
outlets for selling of its
products.
Price Cadbury uses its brand name
to make pricings on slightly
higher. Cadbury is known for
its quality standards and its
known that pricing depends on
McDonald's pricing is done
according to its competitive
challenges. It follows cost
leadership strategy. It provides
one of the cheapest products as

the quality. Some of its
products like Perk is slightly
reasonable. Due to its lesser
number of big competitors in
chocolate industry it pricing
remains to be high. Its large
variety of premium products
that is used as a gift has higher
pricing.
compared to its competitors.
Its pricing generally does not
include its dining cost as
majority of other restaurants
charges for it.
Promotion Company does its promotion
by various advertisement via
television, newspapers and
other form of mass
communication. Online
advertisements and
promotional videos are being
launched so as to sell its
product. Company takes use of
various events or festivals in
its advertisements so as
promote its gift products.
Company has wide variety of
sweetening products which
attracts sweet lovers.
This company advertises its
products through news papers
and other mass media
instruments. It uses holdings
and bus shelters to promote its
products. It highlights its
Happy Price Menu deliberately
for attracting young people.
McDonald T-shirts and its
mascot is used to promote its
food among the children. It has
promoted its new products
through outlets in their outlets.
People It has a very good management
employees that makes plans
according to the companies
requirements. Its staffs
generally are highly skilled
It has a reputation of
delivering good service and
that is being achieved by
trained employees. It has used
the concept of fast friendly

and trained in making good
food and beverages products.
It does have its direct sellers
rather it sells its product by the
shop owners or super market
chains.
service. Provide clean
comfortable environment
especially suited for families.
Its workers have excellent
communication skill and they
are highly professional.
Processes It uses various processes to sell
its products. As company
provides wide range of
products hence need to serve
in a way to achieve maximum
customer satisfaction. This
factor is not generally
important to cadbury.
People are paying to receive
best customer services from
the outlets of McDonald and
company also do not
disappoint its consumers. With
highly trained employee they
provide services to achieve
optimum customer
satisfaction. People generally
return to the outlets of
McDonald because of its
world class and faster services.
It is known for its fast and
efficient service.
Physical Evidence This do not have any
imaginary product. Whatever
is promoted is delivered in the
same way. Milk products are
sold in many form like
chocolates and biscuits.
McDonald have its product
that are tangible and it also
provide physical product. It
does not fake and that's why
people come to its outlets
again and again. It does not
fake any of its products what's
promised earlier.

TASK 4
4. Marketing plan for McDonald's.
Framing of marketing plan is play important part in every business organization. This can
able to guide entire business organization (Fotis, Buhalis and Rossides, 2011). Through which
company can expand their business in international market and attain their set of objectives as
well.
Market segmentation is helpful to divide potential targeted audiences into different
groups. This is effective process of separation of total market products and services into
homogeneous groups (El-Gohary, 2012). Allot work to all members according to skills,
knowledge and experience through which they can maintain work quality and performance as
well. There are various types of ways of segmentation which are able to differentiate customers
on the basis of their taste, nature and preferences. Some bases are as aligned below-
Demographic- This is effective procedure to differentiate customers from one another. It
play significant role in separate people on the basis of age, sex, income and religion. With the
help of this process McDonald's is able to attain it target and effective manner (Wirtz, Tuzovic
and G. Kuppelwieser, 2014). Members of cited firm are responsible to deliver goods and services
accordingly and try to meet their expectation level.
Psychographic- In this method companies are able to separate their customers on the
basis of their personalities, beliefs and lifestyle (Chamorro-Mera, Miranda and Rubio, 2014). As
every person in internation market having different opinion and taste so that, staff members of
McDonald's needs to provide goods and services accordingly. As cited firm is responsible to
provide varieties of goods and services.
Some benefits of segmentation is as follows-
 Identify specific groups- With the help of segmentation firms are able to identify
their tarted groups and try to satisfy them as well (Rundle-Thiele, Russell-
Bennett, Leo and Dietrich, 2013). This factor provide better opportunities to
company to expand their business in across the national border.
 Divide in separate group- Members of cited firm needs to separate customers
and divide marketing program as well accordingly. For this purpose they have to

use appropriate tools and techniques in order to attain their set of target and
objectives.
Members of cited firm needs to identify expectation of their customer and try to provide
goofs and services accordingly in order to attract large number of buyer and maintain better
relationship with them as well (Hsu, 2011). Identify current market demand of their targeted
customers for meet their expectation.
Marketing objectives or goals of Mcdonald's
Staff members of cited firm are responsible to frame objectives or goals and try to
implement them according to requirement of company.
Expand business- Companies have to expand business in international market in order to
maintain their performance and work quality as well (Marketing Essential. 2016). Use
appropriate tools and techniques for marketing their products in other countries.
Attract customers- With the help of marketing in cited firm is able to attract large
number of people and deliver bet quality products to them (Marketing Essential. 2016). Frame
effective plans and strategies which are helpful for them to attain target.
Effective strategies for meet implementation-
Strategic planning is an important part for McDonald's profitable business growth but usually
companies do not realise potential importance of business strategy which basically affects its
financial value because of defects and breakdowns in strategic planning and implementation
keeps occurring (Nicholls, Hair Jr, Ragland and Schimmel, 2013). Basically it has been analysed
that implementation is the most difficult task of strategic planning process. Since it is the most
important part of planning technique cause it helps in performance result to be maximum. It is
also responsible for remaining alert and flexible to new opportunities and trends coming up. For
proper implementation of successful strategic planning then it basically needs to be realistic and
solidly grounded and also it should be underlying economic conditions of the organisation
market.
Implementation effectiveness is actually measured in terms of how business can fulfil its
financial projections and set out a proper strategic plan. Despite experience of this organisation
which is mentioned in this report it is possible for it to turn the strategies and plans into
individual action which is basically necessary to produce a good business performance. Many

times there are requirement of people to be motivated and create enthusiasm so all together it
accomplishes the company to fulfil its aims. This company needs to ensure that any change if
initiated from this strategic planning which are reflected in many factors and areas like reward
schemes, budget and information system (Goeldner and Ritchie, 2012). The main goal is to
integrate the result of strategic planing on a daily basis or even weekly or monthly routines.
There are certain objectives which are to be considered in this strategic planning that basically
drives the market to drive in full speed and improves sales efforts immensely. Also there is
requirement of human resource practices which would help in research and development. These
goals need to be a very important part that is the central part of business by guiding daily
operational activities.
CONCLUSION
From the above assignment it has been interpreted that marketing is essential for every
business entity as it aid in helps in promoting the products and services and this will assist in
delivering appropriate and correct information related to merchandise which will aid in getting
attention of their consumers and firm can boost their sales. For doing marketing, proper budget
needs to be prepared which will aid them in maintaining their spendings on all operational
activities so that targets can be easily reaped. Marketing is a main department of enterprise as it
helps in improving their sales and generating more revenue. Managers have to prepare proper
marketing plan which includes different steps and have to follow all the steps as well as have to
do proper situational analysis so that goals and objectives can be attain which are made by higher
authorities of company.

REFERENCES
Books and Journals
Asaduzzaman, M., Hossain, M. and Rahman, M., 2014. Service quality and student satisfaction:
a case study on private universities in Bangladesh. International Journal of Economics,
Finance and Management Sciences. 1(3). p.128.
Brassington, F. and Pettitt, S., 2013. Essential of marketing.
Chamorro-Mera, A., Miranda, F.J. and Rubio, S., 2014. Facebook as a marketing tool: An
analysis of the 100 top-ranked global brands. International Journal of Virtual
Communities and Social Networking (IJVCSN). 6(4). pp.14-28.
Clow, K.E. and James, K.E., 2013. Essentials of marketing research: Putting research into
practice. Sage.
Dibb, S. and Simkin, L., 2013. Marketing essentials. Cengage Learning.
El-Gohary, H., 2012. Expanding TAM and IDT to Understand the Adoption of E-Marketing by
Small Business Enterprises: An Empirical Investigation. In E-Marketing: Concepts,
Methodologies, Tools, and Applications (pp. 931-952). IGI Global.
Fox, P.B. and Wareham, J.D., 2012. Governance mechanisms in Internet-based affiliate
marketing programs in Spain. In Transformations in E-Business Technologies and
Commerce: Emerging Impacts (pp. 222-239). IGI Global.
Gertner, D., 2011. A (tentative) meta-analysis of the ‘place marketing’and ‘place
branding’literature. Journal of Brand Management. 19(2). pp.112-131.
Goeldner, C.R. and Ritchie, J.B., 2012. Tourism: principles, practices, philosophies (No. Ed.
12). John Wiley and Sons, Inc.
Hsu, W., 2011. The vocabulary thresholds of business textbooks and business research articles
for EFL learners. English for Specific Purposes. 30(4). pp.247-257.
Ionitã, D., 2012. Entrepreneurial marketing: a new approach for challenging times. Management
& Marketing. 7(1). p.131.
Kennedy, A.M. and Parsons, A., 2014. Social engineering and social marketing: why is one
“good” and the other “bad”?. Journal of Social Marketing. 4(3). pp.198-209.
Lancaster, G. and Massingham, L., 2010. Essentials of marketing management. Routledge.
Lehmann, S., Lehmann, S., Bengart, P. and Bengart, P., 2016. Replications hardly possible:
Reporting practice in top-tier marketing journals. Journal of Modelling in
Management. 11(2). pp.427-445.
LIU, Y. and WANG, B., 2010. Research on the Construction of Green Marketing Channel of
Manufacturing Enterprise Based on Circular Economy [J]. Journal of Beijing Institute
of Technology (Social Sciences Edition. 3. p.012.
Malhotra, N.K., Birks, D.F. and Wills, P., 2013. Essentials of marketing research. Pearson.
Nicholls, J., Hair Jr, J.F., Ragland, C.B. and Schimmel, K.E., 2013. Ethics, corporate social
responsibility, and sustainability education in AACSB undergraduate and graduate
marketing curricula: A benchmark study. Journal of Marketing Education. 35(2).
pp.129-140.
Ogunmokun, G.O. and Tang, E.C.H., 2012. The effect of strategic marketing planning behaviour
on the performance of small-to medium-sized firms. International Journal of
Management. 29(1). p.159.

Papasolomou, I. and Melanthiou, Y., 2012. Social media: Marketing public relations’ new best
friend. Journal of Promotion Management. 18(3). pp.319-328.
Peter, J.P. and Donnelly, J.H., 2011. Marketing management: knowledge and skills: text,
analysis, cases, plans. Plano: Business pub., INC.
Pike, S., 2015. Destination Marketing: Essentials. Routledge.
Silver, L., Stevens, R.E., Wrenn, B. and Loudon, D.L., 2012. The essentials of marketing
research. Routledge.
Wang, T.T., Lee, Y.D. and McLee, Y.D., 2011. Invisible knowledge network of international
marketing studies: theory and evidence. Contemporary Management Research. 7(1).
p.67.
Wirtz, J., 2012. Essentials of services marketing. FT Press.
Rundle-Thiele, S., Russell-Bennett, R., Leo, C. and Dietrich, T., 2013. Moderating teen drinking:
combining social marketing and education. Health Education. 113(5). pp.392-406.
Wirtz, J., Tuzovic, S. and G. Kuppelwieser, V., 2014. The role of marketing in today's
enterprises. Journal of Service Management. 25(2). pp.171-194.
Fotis, J., Buhalis, D. and Rossides, N., 2011. Social media impact on holiday travel planning:
The case of the Russian and the FSU markets. International Journal of Online
Marketing (IJOM). 1(4). pp.1-19.
Baker, M.A., Baker, M.A., Magnini, V.P. 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.
Oplatka, I. and Hemsley-Brown, J. eds., 2012. The management and leadership of educational
marketing: Research, practice and applications. Emerald Group Publishing Limited.
Babin, B.J. and Zikmund, W.G., 2015. Exploring marketing research. Cengage Learning.
Online
Marketing Essential. 2016. [Online]. Available Through:
<https://www.entrepreneur.com/article/286545> . [Accesses On 1st July 2017].
Marketing Essential. 2016. [Online]. Available Through:
<https://www.edx.org/course/introduction-marketing-essentials-iimbx-mk101x> . [Accesses On
1st July 2017].