Marketing Planning for GSK Company: A Comprehensive Analysis Report

This report offers a comprehensive analysis of GlaxoSmithKline (GSK)'s marketing strategies. It begins with an introduction to marketing planning and its significance, followed by an evaluation of GSK's marketing planning capabilities, including its adaptation to various marketing concepts. The report delves into the impact of organizational and external factors on GSK's marketing plan, utilizing PESTLE and 5M analyses. It identifies and examines barriers to effective marketing planning, and explores strategies to overcome these obstacles. The report includes a market plan for launching a new product, discusses the importance of marketing plans in strategic planning, and justifies methods for new product development. It also analyzes factors affecting market plan implementation and addresses ethical issues in marketing, including consumer ethics. The conclusion summarizes key findings and insights from the analysis.

MARKETING
PLANNING
OF GSK COMPANY

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
A Review and evaluate the marketing planning ability of a company........................................3
B Organisational and external analysis impact the marketing plan of a firm..............................5
TASK2.............................................................................................................................................7
A Examine the main barriers and ways to overcome this to the market planning ......................7
TASK 3............................................................................................................................................9
A. Market plan for launching a new product ..............................................................................9
B Importance of marketing plan in strategic planning process..................................................10
C. Methods and justification for developing a new product......................................................11
D Factors affects while implementing market plan...................................................................12
TASK 4..........................................................................................................................................13
A. Explain and analyse ethical issues in market planning.........................................................13
B. Analysing consumer ethics effect on marketing plan...........................................................14
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................16

INTRODUCTION
Marketing planning is a document that include a marketing strategy such as marketing
mix, market segmentation which helps a businessmen to satisfy customer needs and achieve
marketing objectives. It is a dynamic process as it change according to change in other factor that
impact business. GlaxSmithKline(GSK) it is a pharmaceutical and healthcare company , it is one
of the world's research based companies and it is oldest company in pharmaceutical industry. It is
founded in 1924 and it offers various product such as medicines and vaccines. In research report
we study how changes in the environment are internal and external factors impact marketing
planning of GSK company. Along with this understanding the main barrier to marketing
planning and how various ethical issues affect marketing plan.
TASK 1
A Review and evaluate the marketing planning ability of a company
Changing perspective in marketing planning helps in attaining organisational goals and
objectives and it also impact on GSK company that are discussed below:-
 The production concept – This mainly focus on production capacity of product that are
available to customers. It concentrate on cost, high production efficiency and intensive
distribution of products. In addition to this, consumer wants those product whose price is
low so, the GSK company make market plan in that they offer affordable price and best
quality on flu vaccine to its customers. Firm also make use of aluminium foil or PVC for
packaging its products ,put detailed information about company's product,carry
manufacturing and expiry date. In regard to this the firm conduct proper test before
offering product in a marketplace and keep them under a high temperature and humidity
to protect firm's product ( Ahmed,Rafiq,andSaad,2013).
 The product concept- This concept is mainly focus on high quality and innovative
products to achieve its goals and objectives. Consumer needs healthy,drug free,highly
effective quality products so, in regard to this the marketing manager focus on and make
marketing plan according to consumer needs. For this reason, GSK company provide that
Flue vaccine in a target market to satisfy consumer needs and wants. These are highly
effective and have a ability to cure disease and impact on patients over some period.
They have to offer products in various forms such as syrups, medicine , capsules , injects

which gives a variety of choice to patients for selecting according to their suitability.
( Andersen,2011)
 The selling concept – In this concept a firm choose a best promotion tools for selling its
product in the potential target market which highly impact on a business of GSK
company. They provide their useful message to its patients through seminars, clinical
trials, advertisements that directly impact on firm's sales and generating revenue.
 The marketing concept – This is a very important concept to achieve organisational goals
and objectives in an organisation. GSK company have to make plan in which they put
more efforts before selling products in an marketplace. In regard to this they provide
effective message to the target customers through advertisement in social media and
television. Company deliver its up – to -date information about medicines which enhance
knowledge and aware its patients about their new treatments which directly affect in the
firm's sales.
Each and every firm try to achieve its goals and objectives through various marketing
activities which is highly depends upon the firm's ability to make marketing plan. GSK company
make a marketing plan for the flu vaccine in order to retain more customer from target market
through marketing activities. Here there is a analyses and evaluation of GSK company 's ability
of marketing activities of flue vaccine to old people which are discussed below:-
 Brand image – GSK company is a the top five largest pharmaceutical companies all over
the world as they spent huge amount of money on research and development. So, the
ability of a GSK company in selling its new product is flue vaccine to a target market is
not higher to explore new markets( Belobaba,Odoni and Barnhart,2009).
1. Uniqueness in the product – GSK company put lot of efforts to develop a unique design,
maintain high quality, unique design in packaging and also provide wide range of
medicine in a flue vaccine. This can be possible by market research and collect
information about old people's needs and preferences from different age groups of
people. They also offer new product in various form are syrups, injections, tablets such as
low and high MG tablets (SWOT Analysis.2014 ).

 Strong relationship management – GSK company develop a strong communication with
their suppliers, consumers and retailers through websites. They collect information to its
customers through feedback forms and reach out with its customer through e-mail
marketing to achieve its marketing objectives (Blankson andKalafatis,2007 ).
B Organisational and external analysis impact the marketing plan of a firm
Environment is a dynamic in nature so it directly impact on pharmaceutical industry and
it influencing the firm to change its marketing plan to achieve marketing objectives. so there are
various techniques use to audit organisational and analyse external factors that affect their
marketing plan that are discussed below :-
PESTLE ANALYSIS
Political factors- The government formulating various rules and regulations to protect the
pharmaceutical industry by controlling the production of medicines and these are different from
each country. So, the company have to consider these rules and regulation while manufacturing
medicines and it also influence the industry to safe its patients by following various provision for
medicines.
Economic factors- The Change in the economic condition leads to direct effect on
pharmaceutical industry due to change in the economic activities of the country. The activities
that include in it are inflation rate, fluctuation in exchange rate, fiscal policy that directly or
indirectly impact on economic conditions of the country. (Cheung and Hui,2004).
Legal factors- The UK Government restrict pharmaceutical industry by formulating rules
and regulation under various act such as drugs and cosmetic act, health and safety act, Narcotic
Act and working of labour. So, the company follow the legal aspects while introducing any new
product in the marketplace.
Social factors- Peoples are well-educated so they know the healthcare activities and due
to social factor pharmaceutical industry are more concerned with health issues. For this reason,
before situation becomes worse they focus on research and develop solution for this health
issues.
Technological factors- With the advancement in a technology a pharmaceutical industry
use most advanced technology while manufacturing medicines. Nowadays, the use of IT

technology becomes an important as it helps the firm to improve in a production process of
medicines.
5M Analysis
Manpower- This element of the company comprises of employees for the business. GSK being a
pharmaceutical company needs a well-defined base of employees who can effective manage the
business operations and demands. A strong team of committed employees has helped the
company in developing effective business results (Christensen,2004 )
Machines- GSK has developed an effective base in different countries of the world. The
machines and technology used for production are advanced and modern which has helped
business in attaining quality and well defined outcome for the business.
Methods- It includes procedure, process, strategy develop by company so they achieve their
objectives and goals. The national and international operations of the business are managed and
maintained in a significant manner which has helped the business in attaining high business
results.
Management- GSK has adopted unique and effective measures to manage the business
operations and team of the company. This has helped the business in developing an edge within
the market.
Material- It includes raw material, equipment are used in manufacturing or producing product
which help in increase in quality in products.
The pharmaceutical GSK Company adopt PESTLE analysis technique that affect the
firm's marketing plan that are discussed below-
Political factor – GSK Company consider rules and regulation of that country in which
they offer medicine while manufacturing a new product is flu vaccine to old peoples. This
directly impact on the marketing plan of a company they consider provision of a flue vaccine so,
they protect and satisfy the customers in an effective manner.
Economic factor- GSK company change its marketing plan as it is influence by the
economic condition of that country where they wants to offer flue vaccine. They make their
pricing strategy of its new product by considering the economic factors such as inflation rate,
interest rate and exchange rate.

Social factor- GSK company conduct research programs to know the perception of old
people regarding its product. They not only offer new product but they also fulfil its social
responsibility by CSR activities in a society. They provide education and enhance knowledge
about new medicines so, the people becomes healthier and maintain its life for a long time period
( Cohen,2005).
Legal factor – GSK is affected by different rules and regulation in and various act in each
country so, it also impact the market plan of a firm. While manufacturing flu vaccine for old
people a firm consider various rules and provision in drugs and cosmetic act and health and
safety act.
Technological factor- GSK Company adopt IT technology in production process that
help the firm by reducing wastage, minimize factory size and energy etc. for making a healthcare
products to older people.
TASK2
A Examine the main barriers and ways to overcome this to the market planning
Marketing planning is a logical process of events followed by companies to define
objectives of marketing and prepare plans to reach out those objectives. Preparing a market plan
is not an easy job. Companies face various obstacles during the implementation of the plan.
Marketers have to tackle with many hurdles in marketing planning which are stated below:-
Confusion Between Objectives, Strategy and Tactics: Managers often gets confused
between these three terms objectives, strategy and Tactics. In the strategy is used by a firm to
reach firm' s goals and objectives, objective is develop by a firm to achieve its mission and these
are long term planning. Whereas, tactics is the small way develop by a firm to reach out the
strategy. In a GSK company it facing lot of confusion between objectives,strategy,tactics as the
managers and market planners are not clear with difference (Cohen,2005).
Isolation Of Marketing From Operations: In any organisation it is very necessary to
correlate and coordinate with each department such as R&D, operations, finance or HR
department. In the context of GSK company in which a marketing managers needs to consider
with all the departments so they make its marketing plan in an effective manner. This leads to
effective in sales and collecting relevant market intelligence in a firm (Cooper,2010).

Lack Of In-depth Study: Lack of proper and incorrect information collect from target
market can lead to a create hurdle in making planning of a firm. Sometimes there is too much
information than too little which is real problem. In the context of GSK company to improve the
marketing planning for a new product they have to collect accurate and effective information
from the potential target market to achieve its marketing objectives.
Lack Of Knowledge And Skills: Most of the marketers do not apply their theoretical
skills and knowledge on practical grounds in their jobs. In companies like GSK top management
presumes that their marketers do not posses good knowledge and potential becomes ineffective
due to lack knowledge of advanced technology (Ferguson,2008).
To overcome from above barriers marketers adopt approach and techniques. GSK
company develop various ways to overcome form these barriers so they can make an effective
marketing planning that are discussed below-
Market survey: To overcome from lack of in-depth study in GSK company a marketing
manager conduct customer surveys or market surveys to collect the information about their
product to the customers such as what exactly they think about the company's products and
services. GSK can do such surveys with its target customers and then take action by analysing
the feedback of customers. Therefore, make proper modification can be done on the basis of their
feedback information(Fernández, Cala and Domecq, 2011).
Introduce Change: To overcome from lack of knowledge and skills in a GSK company
as they stick with the old strategies, policies and objectives. This can be remove by adopting new
technology and introduce changes in the company as these develop new vaccination, medicines,
and health care services. They develop their employees skills and knowledge of new technology
but the marketers have to manage change in an effective manner and remove the obstacles
appearing in bringing the change.
Decision Making: Overcome from isolation of marketing with other operation a
marketers of a GSK company have to make decision with other department while making
marketing plan. Delegation of decision making power can also help in facing various obstacles
as well as subordinate will also put their ideas and views in solving various issues. In the context
of GSK marketing managers must evaluate each and every alternative before taking the decision

with other operations department this leads to make best decision in favour of an organisation
(Forbes and Lederman, 2007).
Productivity: To overcome from confusion in objectives, strategies and tactics a firm can
adopt productivity approach so it help the marketers to understand the company's strategic
objective, vision and mission, culture and values. GSK company should increase its productivity
level on a continuous basis as it also help the firm in attaining its long term goals as well as it
also enhance goodwill in the pharmaceutical industry.
TASK 3
A. Market plan for launching a new product
From the above analysing or evaluating various internal and external factors as well as
change in perspective affect marketing plan of pharmaceutical industry. With regard to new
product is flu vaccine is launch by GSK company in the target market they need to develop a
marketing plan which are as follows:-
Elements of Marketing mix of Flu vaccine Description
Price Pricing of new vaccines which is a
complicated process for marketing manger that
could have substantial scientific, medical
health ramifications. It include those
components manufacturing cost, select pricing
structure, pricing objectives set, design a
vaccine target are the main elements which are
to be considered in pricing of flu vaccines.
Product Product should be innovative which gives full
information about product and highly cure the
patients , less side effects and better quality
and ranges also develop according to the
suitability of patient to remedy the disease
without harm the patient.

Promotion Promotion of flu vaccine can be done through
adopt new technology like social media and
aware them through conducting seminars how
to protect them from flu diseases
Place Place of these flu vaccine are easy to access
and easy available anywhere in the world.
Market segmentation where the people are
suffering form these disease and provide them
new product as soon as possible so the number
of increase in flu disease reduce .Market
manger target according to the
Geographically , North America region it is
region where influenza vaccine increase.
Market can be segment through demographic
in which age , sex , income are taken into a
consideration (Frank,2011Advertising ).
B Importance of marketing plan in strategic planning process
Marketing planning is essential in strategic planning process for the GSK company
because it affect the corporate, business and also marketing strategic plans it can be classified
into three function
Provide useful information- It help the firm by collecting or gathering and analysing an
important information of current market situation and it also help in identify the market trends.
This will help the firm in assessing various factor that impact the market trend and this
information are useful to produce customer expectation products.
Increase sales- Marketing manager are involve in the corporate, business and marketing
strategic plans in the development, so the marketing planning. It becomes necessary in strategic
decision making process it helps the firm to achieve their goals and objectives as well as increase
sales.

Expand market - With the change in an environment and competition increase it helps the firm
to expand its market to foresee future customer needs that help the firm to produce a new
product. Firm can expand its business globally by fulfil demand of the customer according to its
expectation (Hunter,2016).
C. Methods and justification for developing a new product
Various techniques and methods are used for new product development are follows:-
Idea generation- It is a continues and systematic search for developing new product
opportunities and these methods of idea generation are Dimensional analysis. In that it involves
of list all the characteristics of a product type and find out the answer of these question. The
various question it involve are ''why technology used by a firm to develop a new product and
what are the price of a new product ?. In addition to this, how to make product more innovative ?
And what happen if one or more of characteristics is removed ?
Problem analysis- It is a technique which help the firm in design and identify various consumer
problems relating to new product ideas. Make a list of all problem and develop various solution
to solve such issues.
Benefit structure analysis- It help the in determine what specific benefits are desired by
consumers within a particular product.
Scenario analysis- It help the firm in identify opportunities by capitalizing on associated
consumer needs. Product screening after generation of new ideas. The firm must screen them
which are more attractive or which are less attractive and after that concept testing. It is quick
and expensive way of measuring consumer enthusiasm this helps the firm in measuring attitudes
and intention at early stage of development
Business and financial analysis- It is an another technique for new product development there
are various factors that are taken into consideration in the demand projections , cost projection,
competition, required investment, profitability. Therefore, after a proper test is conduct into the
market for the purpose of evaluating the product (Jiang,2012 ).
The GSK company achieve their objectives through the effective marketing plan by using
pricing policy, distribution, communication are discussed below-

 Competitive pricing: GSK company is strong brand company in a pharmaceutical
industry they product is sell at very reasonable price according to the customer
expectation .Pricing is a very much issue for the success for any business so the company
make their product according to the customer needs .GSK provide their medicine more
affordable price in developing countries .(Kärnä,Hansen,andJuslin,2013)
 Distribution channels- The GSK company is a established there business globally all over
the world as well in the pharmaceutical industry . The product of GSK medicine are
distributed in every world and the variety in there medicine are huge and free from side
effects. A company build a huge distribution network covering those villages where there
is no control over the product now it cover over 16,000 villages it is managed by to
supply products across entire range of nutrition and foods , oral healthcare are available
to rural consumers. Now every patient will prefer to take medicine and cure their health
from GSK company.
 Communication mix- It is an effective it helps to build brand image if the message are
communicate in the internal and external business . A company should adopt
combination of communication style and promotional tools to communicate information
about product to their customer. GSK company use promotional tools like advertisement ,
use new technology like social media , social website, seminars conduct . ( Porter,2010)
D Factors affects while implementing market plan.
On the other hand , By implementation of marketing plan in the GSK company in
pharmaceutical industry such factors affect while implementing the marketing plan in the
company are discussed below-
Demographic / economic environment- GSK Company make their pricing policy according to
the consumer expectation. They sell their medicine or flu vaccine at low price while
implementation, economic factor are directly affect the company. The inflation rate increased at
the time of implementing that leads to consumer prefer another competitor by switching of the
same product. It impact badly the purchasing power of buyer start reducing, affect consumer
income and also they spend high money on needed medicine leads to decrease in saving.
Technological environment- GSK company adopt social media technology and social sites to
market its new product that is flu vaccine. It impact in their sales it start increasing as people use

internet so, they are highly aware about new product through internet its directly affect the GSK
company objectives .(PESTLE Analysis.2014 )
Political environment- A marketing plan is develop according to current rules and regulation
that are made by ministry of healthcare. These rules and regulation are change with the time if
any change in the policy and rules of government it directly affect the firm only if any change in
the rules are not matched with the future marketing plan. Again it take a lot of time consume in
developing new marketing plan .
TASK 4
A. Explain and analyse ethical issues in market planning
Ethics play a very important role in any business. Basically it means to do what is right. It
gives the difference between what is right and what is wrong. They are vital for the stakeholders
of any business organisation as it builds trust and loyalty in their eyes. Following ethical
practices businesses are gaining huge competitive advantage. By adopting ethical
values ,transparency is there in the organisation which in turn promotes opportunities. GSK deals
with the pharmaceutical sector where it gains consumer loyalty and faith by doing the business in
ethical manner. Any unethical practice may cause the firm loss of trust and faith in the eyes of
the buyer. It influences the goodwill and reputation of the business. The affects of ethical
practices on marketing planning are explained below:
 Product: Ethical business practices supports the organisation in stating the policies related
to quality of their product, and the economic process of producing it. This forms a basis
for product characteristic for the organisation and the consumer both. It defines the key
requirement of consumers and accordingly quality of product is being maintained.
 Place: Analysis of distribution channels and delivery of products is a necessary task for
ethical business behaviour. For acquiring raw materials and high quality product in an
efficient manner it supports the organisation. Also it helps the business organisation to
achieve high standards in terms of ethical practices.
 Price: Various types of measures and methods regarding pricing policy is adopted by the
organisation. Following ethical practices in the company needs to adopt a fair and
transparent way of pricing. Overheads and extra margins to extend profit margin for the
organisation should not be done it is unethical practice. (Christensen,2004 )

 Promotion: Unethical practices of promoting a product like false and misleading
advertisements or fake data representation are not being practised by the company. The
organisation adopts effective and fair basis of promotional activities which does not
include any fake representation of impressive data.
B. Analysing consumer ethics effect on marketing plan
Nowadays, for growth of business organisations critical issue of ethics is very important.
Every organisation abide by the ethical rules and code of conduct to increase the demand of fair
performance. These ethical activities bind the organisation in an effective measure for fair
business practices. GSK follows efficient ethical practices which are elaborated below:
 Advertising Ethics: To attain goals and affect support of buyers and stakeholders,
ethical issues in advertising is being considered effectively. The organisation policy
checks fairness of product,and Corporate Social Responsibility factors to gains public
trust.
 Pricing Ethics: The organisation follows fair pricing policy to avoid market
discrepancies.
 Fair Trade Practices: Trading and practising with suppliers and service providers is in
fair and efficient way. (Andersen,2011 )
 Product Quality: The organisation follows ethical practices by offering high quality
product. It has backed the organisation to gain trust, faith and loyalty of the consumers
thus achieving organisational objectives.
By adopting ethical practices towards the consumers, it helps in gaining
consumer loyalty and faith for the organisation. The ethical policies followed by GSK regarding
the same are stated here: Fair Price Policy: The Company is benefiting the customers by valuing product on basis
of demand and supply analysis. The organisation has effectively overcome common retail
price of mark-up price so that consumers are getting value based pricing policy. Ethical Promotions: Practices such as faulty advertisements using fake and false
information are strictly prohibited in the organisation as it gives a wrong impression in

the minds of consumers and the interested parties. These may include falsified practices,
illegal downloading etc.( Ferguson,2008) Product Quality: The company has policy of not comprising on quality of the product in
terms of raw material and finished products. It is being paid due care that practice of
counterfeiting is not followed. No Information Privacy: The Top Management of the organisation believes in sharing
all the required information and data with its consumers and stakeholders to build a
strong and transparent relationship with them.
 Sustainable Business Practices: Company has adopted sustainable business policies so
that there is no harm caused to natural wealth and resources because of their business
activities.
CONCLUSION
In this research report we conclude that GSK company develop future marketing plan
how marketing planning perspective helps the company to develop new product in the market by
using various techniques and it help the company to make effective marketing mix , marketing
strategy and production process , product design , new pricing policy, new selling and
distribution and communicate mix help them to expand market and reach at villages , north
region where the flu diseases exist and cure them without any side effects of medicine , provide
and aware them about new product effects on their health in this report we analyse the internal
and external factors that directly affect the company when the marketing plan actually
implemented .

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