Strategic Marketing Australia Research Paper 2022

Strategic
Marketing

STRATEGIC MARKETING 1
Table of Contents
Introduction................................................................................................................................2
Background Information on Wesfarmers...............................................................................2
Identification of the SBU.......................................................................................................3
PESTLE Analysis...................................................................................................................3
SWOT Analysis.....................................................................................................................5
Marketing objectives and goals..............................................................................................6
Strategic Alternatives Formulation........................................................................................6
Marketing Mix.......................................................................................................................7
Monitoring, Evaluation, and Control.....................................................................................8
Conclusion..................................................................................................................................9
References................................................................................................................................10

STRATEGIC MARKETING 2
Introduction
One of the most important factors that are required to run a successful business is the power
or strength of the strategic marketing plan. Performing market research disinfecting the
findings and working on the recommendations in the marketing plan support business in
defining the products or services that business will sell, the target market, the promotional
means, and the time to do all the specified things. Strategic marketing importance is
dependent on setting clear business outcomes (Oliveira, 2015). This paper intends to present
the strategic marketing plan for one of the Australian form that is Wesfarmers with the
motive to form the strategic alternatives. The entire procedure of selecting the possible
alternatives is comprised of selecting an SBU, conducting the environment analysis, framing
the goals and objective and then forming the strategic alternatives and presenting the
implementation plan. In the end, the paper is highlighting the monitoring, evaluation and
controlling activities that can be adopted by the business.
Background Information on Wesfarmers
Wesfarmers Limited is an Australian firm with headquarter in Perth. The key business
operations of the company are in New Zealand and Australia under the product line safety,
chemical products, retail, coal mining, fertilizers, and industrial products (Wesfarmers, 2019).
In 2016, the company earned around AU$65.98 billion revenue by which it overtook BHP
and Woolworths. Wesfarmers is also considered to be the largest employer of Australia by
offering jobs to around 220,000 people (Wesfarmers, 2018). In 1914, the company was
founded as the co-operative to offer merchandise and services to the farmers of Western
Australia. The company is listed as the major conglomerate on the Security Exchange of
Australia in the year 1984.

STRATEGIC MARKETING 3
Identification of the SBU
An SBU is composed of the product lines with recognizable individuality from other services
or product lines in regards to the competition, product’s substitutability, and influence of the
product withdrawal. A division can also be comprised of diverse product lines however only
differ from other SBUT in the thrust (Wheelen, Hunger and Bamford, 2010).
Wesfarmers is the retail conglomerate that is involved in selling different types of products
under different segment. Different segments and businesses of the company are operated
under different SBUs. The retail business of Wesfarmers is operated under the name Kmart.
Kmart is the retail store chain of Australia offering low price products to the customer and
owned and managed by Wesfarmers. The company is involved in operating around 228 stores
all over New Zealand and Australia, with head office in Melbourne (Wesfarmers, 2017). This
SBU of Wesfarmers was established with a joint venture between Coles and S.S. Kresge
Company in the US with Kresge holds 51% of the share in the business. In the year 1968,
both the companies started developing the Kmart stores in the Australian market. The first
store of this company was introduced in 1969 in Victoria (Kmart, 2019).
Analysis of Environment
PESTLE Analysis
Political Factors - The political forces generally have a higher influence on the retail industry
of Australia. The augmenting business and dominance of the self-governing retail businesses
like Kmart, BigW, Aldi have increased the competition for the small retailers in the market
and therefore to restrict this the government has introduced different policies. The
government has introduced policies to safeguard the rights of the shareholders and restricting
monopoly in the market (Fuchs and Kalfagianni, 2010).