BSBMKG501 - Evaluating Market Opportunities: Assignment Report - BPC

This report, prepared by a student, provides a comprehensive evaluation of market opportunities, focusing on the Australian marketing landscape. It begins by outlining key marketing regulations, including the Australian Consumer Law, Federal Privacy Act, and Spam Act 2003, and their implications for marketers. The report then delves into the importance of the Australian Marketing Institute Code of Professional Conduct, emphasizing ethical business practices and the prevention of misleading claims. It explores market penetration, market development, product development, and diversification strategies, and analyzes the product life cycle stages: introduction, growth, saturation, and decline. The report also examines the four components of the marketing mix (product, price, place, and promotion) and outlines a four-step marketing process: discovery, strategy, implementation, and measurement. Various forecasting techniques, such as straight line, moving average, and linear regressions, are discussed, along with the use of customer surveys. Finally, the report highlights the significance of return on investment (ROI) in assessing market performance. The report uses Coffeeville as a case study and provides a detailed analysis of its marketing opportunities, including objectives, target consumers, benefits, and potential competitors. It addresses economic, technological, and legal factors, as well as associated risks and contingency plans, to offer a holistic perspective on market evaluation.

Running head: EVALUATING MARKET OPPORTUNITIES
Evaluating market opportunities
Name of the student
Name of the university
Author note

1EVALUATING MARKET OPPORTUNITIES
Assignment 1
Question: 1
The major regulation that applies in the marketing industry of Australia is the Australian
Consumer Law. It covers the welfare of the end customers and protects the consumers from the
unfair trading practices. In addition, the Australian Consumer Law also deals with the
relationship between the different stakeholders in the marketing process such as wholesalers,
retailers and customers. The next regulation is the Federal Privacy Act. This covers the provision
for protection of the customer privacy and confidentiality. It also bounds the marketers to take
the permission from the customers prior to using their private information. The next regulation is
the Spam Act 2003. This covers the protection and immunity of the customers from the spam
communication of the marketers (Wardle et al. 2014). It also forbids the marketers from sending
spam messages to the customers. Under this act, spamming is made civil offence. The
advertising standards regulation should also be considered by the marketers in designing their
advertising content. Thus, the marketers should have to follow a certain factors and elements in
making their advertisements. The last regulation is the Do Not Call registrar regulation for the
telemarketers. This entitles the marketers to not call the customers who have their names in the
Do Not Call registrar or they will be imposed a penalty.
Question: 2
Australian Marketing Institute Code of Professional Conduct is important for the
marketers because it provides certain standards that should be followed by the marketers in
maintaining their ethical business approaches. One of the major importances is to maintain the
public interest and respect. In the recent time, there are number of accusations being made

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against the marketers in duping the customers and for communicating information harmful in
public interest. Thus, with Australian Marketing Institute Code of Professional Conduct in place,
the marketers are entitled to maintain the public interest or they will be prosecuted and fined for
the same. Furthermore, the Australian Marketing Institute Code of Professional Conduct also
states the marketers should avoid being in any illegal activities or promoting the companies
indulged in the illegal activities. Thus, it is important for the marketers to ensure that they are not
associated with any illegal activities.
Question: 3
One aspect of the Australian Marketing Institute Code of Professional Conduct code is
related to the identification of the marketing opportunities, which is the prevention of misleading
claims and misrepresentation of any factors. This is related with the enhancement of the
marketing opportunities due to the reason that misleading claims and misrepresentation of the
facts can be effective in catering to the new customers segments for the short term. However, this
will pose challenges for the marketers in the long term because misleading claims will get
detected and will affect the goodwill and brand value. In addition, detection of the misleading
claims will also attract lawsuits. Hence, the process and strategy of identifying more marketing
opportunities will get diluted and affected. In this case, following this code of Australian
Marketing Institute Code of Professional Conduct will be beneficial for the marketers to prevent
these issues in the long term and ensure the sustainable growth of marketing opportunities.
Question: 4
Market penetration refers to the process of developing newer variants of the existing
products for the existing markets, which helps in further penetrating and covering the untapped

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areas in the existing markets. For instance, any products cannot target the customers across
different levels with the same value proposition and in this case, offering different variants of the
same will be effective in catering to larger target segments. Thus, the marketing opportunities
will get increased for the businesses (Schmidt, Spann and Zeithammer 2014).
Market development refers to the process of entering in the new market areas with the
same and existing products to increase the exposure. Existing markets for any products will get
saturated at one point of time and in that case, it is important to develop new markets. Thus, with
the help of the market development approach, existing products are being offered in new areas
and locations and being catered to the new customer segments. This increases the market size
and opportunity for the products.
Product development is the strategy of developing new products for the existing markets.
This should be noted that after the existing market for the existing sets of products gets saturated,
new products can be effective in maintaining the same market share. Moreover, with the help of
the product development strategy, the market coverage and exposure of the brand will get
enhanced in the same market. Thus, the probability of gaining higher market opportunities will
get increased by this.
Diversification refers to the process of developing both the products and markets that
refers to the process of introducing new products for the new markets. This is the most radical
and risky form of tapping market opportunities due to the reason that higher level of risks and
responsibilities are associated with the diversification. This is mainly associated with the
business strategy of the conglomerates, which are having different products for the different
markets based on the local market trends.

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Question: 5
The four stages of the product life cycle are introduction, growth, saturation and decline.
Introduction refers to the stage when a product is first introduced in the market and is having
minimal brand awareness and share in the market. In this case, this stage is having the
requirement of extensive advertising and promotional activities to gain the market exposure. The
next step is the growth, which refers to the time of growing of the market share and identity of
the introduced products. In this stage, customers got aware about the new product and are getting
interested. This stage requires aggressive marketing activities to promote the positive word of
mouth in the market. The next step is saturation, which refers to the stage when the maximum
market opportunity is gained by the product. Beyond this limit, there is no more market
opportunity left for the product (Gmelin and Seuring 2014). In this stage, new and updated
products are already introduced in the market, which further reduced the potentiality of the
particular product. The last step is the decline and this stage refers to the process of reduction in
the market share and business opportunities for the product. In this stage, no more promotional
activities are required and the product should be changed with the new ones.
Question: 6
The four components of the marketing mix are product, price, place and promotion.
Product refers to the types and features of the core product value to be offered to the customers.
For example, innovative technologies are key the product value for Apple and product is the
foundation other marketing mix elements. The next element of the marketing mix is the price
that refers to the amount to be charged for availing the product. With the help of the pricing
strategy, the customer attractiveness will be determined (Ogunnaike et al. 2014). Pricing also

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determines the market position of the products and ensures the positive return on investment. For
example, premium pricing of Apple is helping them to maintain their premium position and gain
the maximum return from the market. The next element is promotion that refers to the marketing
of the products and increasing the brand awareness. Effectiveness of the promotional activities
will determine the extent to which the product will get exposed in the market. The brand identity
of Coca Cola is much higher in the current time mainly due to the reason of their effective
promotional strategies. The last element of the marketing mix is place that refers to the process
of distributing the products in the market. The more effective will be the distribution process, the
more will be the product availability. The high market penetration level of Coca Cola is mainly
due to the reason of extensive distribution strategy of them.
Question: 7
The four steps are discovery, strategy, implementation and measurement. Discovery
refers to the process of identifying the latest trends in the market. Strategy refers to the approach
to be taken in meeting the market needs and gain the maximum from it. Implementation refers to
the process of putting the intended strategies in place according to the real world situation
(Lafferty, Lueth and McCafferty 2016). Measurement refers to the process of gathering the
feedback from the involved stakeholders and changes and amends the marketing plan
accordingly.
Question: 8
The four types of forecasting techniques are straight line, moving average, simple linear
method and multiple linear regressions. Straight line helps in identifying the constant growth
rate. Moving average helps in determining the repeated forecasting. Simple linear regression

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helps in comparing one independent variable with another dependent variable. Multiple linear
regressions help in comparing more independent variable with one dependent (Raza and
Khosravi 2015).
Question: 9
Chanel and customer survey is one of the major forecasting methods of market growth
rate. In this case, the end customers and the channel partners are surveyed to gather their
feedbacks and opinions regarding the potentiality of the products. Based on these opinions, the
market growth potential can be detected.
Question: 10
Return on investment refers to the process of recovering the value of the investment
being made in the market. The more will be the recovery, the more will be the profitability.
Return on investment is calculated by dividing the return amount with the cost of the investment.

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Reference
Gmelin, H. and Seuring, S., 2014. Achieving sustainable new product development by
integrating product life-cycle management capabilities. International Journal of Production
Economics, 154, pp.166-177.
Lafferty, B.A., Lueth, A.K. and McCafferty, R., 2016. An evolutionary process model of cause‐
related marketing and systematic review of the empirical literature. Psychology &
Marketing, 33(11), pp.951-970.
Ogunnaike, O., Tairat, B., Adeniyi, S. and Omolade, O., 2014. Empirical analysis of marketing
mix strategy and student loyalty in education marketing. Mediterranean Journal of Social
Sciences, 5(23).
Raza, M.Q. and Khosravi, A., 2015. A review on artificial intelligence based load demand
forecasting techniques for smart grid and buildings. Renewable and Sustainable Energy
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Schmidt, K.M., Spann, M. and Zeithammer, R., 2014. Pay what you want as a marketing strategy
in monopolistic and competitive markets. Management Science, 61(6), pp.1217-1236.
Wardle, J.J., Weir, M., Marshall, B. and Archer, E., 2014. Regulatory and legislative protections
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