Marketing Management: Analyzing Contemporary Business Issues Report

This report provides a comprehensive analysis of contemporary issues in marketing management. It begins with an executive summary highlighting the importance of relationship management, ICT tools, and CRM strategies for achieving high market competition. The report delves into knowledge management, its role in relationship management, and how ICT tools can enhance customer relationship management. It also explores the effectiveness of CRM in specific firms and offers recommendations for improvement. The report further examines stakeholder analysis in both public and private sectors, the relationship dynamics of non-profit organizations, and a comparison of marketing methods across different sectors. It addresses key marketing issues, the benefits of an extended marketing mix, product/service mix optimization, and overcoming challenges in service marketing. The role of IT in service marketing management is also discussed. Finally, the report covers current ethical and social concerns, the concept of CSR, and the influence of pressure groups and media on marketing policies. The report uses Tesco as a case study to exemplify marketing concepts and strategies. Overall, the report offers a detailed examination of the current marketing landscape, providing valuable insights and recommendations for businesses.

CONTEMPORARY ISSUES IN MARKETING
MANAGEMENT
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Executive Summary
The study shows that importance of relationship management in the context of business
processes. It displays in what way, business processes need to be followed for ensuring high
competition in market. Importance of ICT tools are shown in this study in work practices.
The study informs about CRM strategies that helps in proper conduction of business.
Recommendations are provided regarding CRM strategies for improving it more. It provides
information about stakeholder analysis in both public and private sector.
Relationship nature of customers between two non-profit organisations is discussed in this
study. Several marketing methods and issues involved in marketing is elaborately explained
in the following study. The study shades light on extended marketing mix and also upon
product mix for enhancing value of customers as well as ventures. In what way, limitations
are resolved related to product service is elaborated in the study. Different role of IT services
in management of marketing are discussed in the course of study. It reflects light on current
issues of business ethics and social ethics in industries. Concept of CSR is also described in
the context of this study. Significance of pressure groups and broadcasting media is portrayed
in the following course of work.
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Table of Contents
Introduction................................................................................................................................4
Task 1.........................................................................................................................................4
LO1............................................................................................................................................4
1.1 Explaining concept of knowledge management as well as its role in relationship
management...............................................................................................................................4
1.2 Explaining processes by which ICT can help processes of customer relationship
management...............................................................................................................................6
1.3 Describing effectiveness of customer relationship management in particular firm.............6
1.4 Providing recommendation for improving customer relationship management..................7
Task 2.........................................................................................................................................8
LO2............................................................................................................................................8
2.1 Carrying out stakeholder analysis for public as well as voluntary sector organisation.......8
2.2 Describing nature of relationship with buyers for selected non-profits organisations.........9
2.3 Comparing methods used in marketing of public, private and voluntary sectors..............10
2.4 Demonstrating important issues involved in marketing in a selected venture...................11
Task 3.......................................................................................................................................12
LO3..........................................................................................................................................12
3.1 Describing the benefits of extended marketing mix..........................................................12
3.2 Explaining in what way, product or service mix can be used to enhance value of
purchasers.................................................................................................................................13
3.3 Mentioning in what way, difficulties peculiar to service marketing can be overcome......14
3.4 Explaining role of IT in management of service marketing..............................................15
Task 4.......................................................................................................................................16
LO 4.........................................................................................................................................16
4.1 Elaborating some current issues of ethical and social concern for marketers....................16
4.2 Explaining concept of CSR in an organisation..................................................................16
4.3 Evaluating role played by selected pressure group in affecting ethical as well as social
policies of marketing................................................................................................................17
4.4 Demonstrating role played by broadcasting media for influencing ethical and social
policies of marketing................................................................................................................18
Conclusion................................................................................................................................18
Bibliography.............................................................................................................................20
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Introduction
Contemporary issues in marketing deliver an approach that helps in gaining more knowledge
regarding concepts of marketing. Every aspect related to marketing is known properly when
study of contemporary issues of marketing is known. It provides information regarding
significance of customers in market and in what way, marketing of products can be done for
ensuring suitable results. Moreover, quality of services provided for people has to be high so
that constructive results can be gained in business. Every industry tries to deliver services that
will be helpful for them to sustain competition in market. Concept of marketing mix is also
involved in contemporary marketing issues. All these assist in enhancing business
performance in long run. In addition to this, interaction with customers and employees
increases at a great level if contemporary marketing issues are taken into consideration. In the
following study, examples of several organisations are provided for understanding in what
way; they do marketing of products.
Task 1
LO1
1.1 Explaining concept of knowledge management as well as its role in
relationship management
According to Gatautis and Vitkauskaite (2014, p.1245), knowledge management is process of
understanding, capturing, transferring as well as using knowledge of customers for improving
performance of different organisations. Knowledge management of TESCO helps in
maintaining proper competition in market thereby, enhancing business practices suitably.
TESCO is one of the pioneers in retail sector of UK that has made considerable changes in its
knowledge management process in order to maintain competition in market. Knowledge
management assists in developing a proper relationship between customers, which results in
achieving profit in business. Knowledge management of TESCO has led to bringing change
in communication process of customers, thereby, improving relationship marketing of this
venture. Market has evolved greatly because customers are being given immense importance
in business. Kubacki and Rundle-Thiele (2014, p.336) mentioned that from production to
delivery of products, customers’ are gaining huge importance. TESCO prepares products
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based upon expectation of customers and delivers those in market. It has tried to retain its
customers in market rather than doing market acquisition (Tesco.com, 2017).
This helped in enhancing supply chain relationship of this enterprise. Internal and external
relationship are maintained properly in this retain chain so that it does not affect their
business. Value chain analysis assists in improving practices of work from production to
delivery of service. Inbound logistics, operations related to product, outbound logistics,
marketing as well as sales of those are considered as important part of relationship
management. Proper knowledge regarding these factors helps in making innovative changes
in product thereby, bringing a positive impact on relationship with customers of TESCO.
Baron et al. (2014, p.155) stated that number of transaction increases if relationship
management is suitably done in organisations. TESCO maintains good relation management
and keeps a great knowledge of every transaction. This leads them to undertake such steps
that will boost number of transactions of products of TESCO. Therefore, knowledge
management can be considered as significant part of business ventures and it shapes
relationship management conveniently in business processes.
Figure 1: Value Chain Analysis of TESCO
(Source:
Production Concept
Tesco is one of the major companies in retailing food in main in England. Besides retailing
food, the company produces wide ranges of branded products and sells branded products of
various kinds of companies. Tesco production deals with the huge demands of the consumers.
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This company with honest ethics has won the trust and heart of the consumers. That is the
secret of their success. The production concept of Tesco is a valid point to discuss in valuing
Tesco production. The trustful customers of Tesco are dynamic. Hence, Tesco has to
accomplish dynamic needs daily. In this regard, Tesco meets new challenges in providing
products to the customer. In consideration of dynamic products demands Tesco designs an
old products input to output in order to modify products. Tesco has extensive skills in
innovative modification. That is the reason Tesco production is in high importance. Before
modifying or launching new products, Tesco usually follows a quality market research. The
creative market research let Tesco to build unique products. Tesco production process has
gone through two following stages like project and batch production in general. The stage
batch production is utmost valuable to success a product business.
Product Concept:
For perceiving the concept of the product of Tesco, the term “marketing mix” is highly
related. Marketing mix gives a clear concept of the researching methodology of the Tesco.
The definition of Tesco Product is marketing Mix badly. This term defines product
description, price quote, venue, promotion, details elements, features, and all in all about
products. Tesco is highly dedicated in supplying meaningful products to customers. Tesco
products reflect a wide range of diversities. It sells garments and ornaments, health and
beauty, home electronic appliances, home appliances, technology and gaming, baby and
toddler and toys, garden, car accessories etc. besides Tesco offer a deal of public services
also.
Selling Concept:
Tesco’s main business is food retailing. In this regard, the Tesco’s stores are important to
give a clear concept of selling Tesco products. Recently Tesco has launched a concept named
“food to go” in order to open an innovative store in London. The objective of initiating this
store is to offer reliability to the customer in collecting food in seconds. Thus, for successful
selling and authentic customer service each store of Tesco is strategic.
Marketing Concept:
Tesco is tremendous passionate in modifying or manufacturing a product high technically.
Tesco is tremendous strategic in researching public market and target customer. That is basic
market concept of Tesco.
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Social marketing Concept:
Engagements in social sites ensure that Tesco is talented market researcher. To perceive the
interest of the customers and public Tesco has reliable engagement in Face book, Twitter,
Pinterest and Google+. Clear social marketing connects Tesco with public soothingly.
Digital Marketing:
Digital marketing is another important term to meet business target. Tesco is very wise in
doing digital marketing in accessing customer for shopping online. Tesco offers reliable
digital marketing.
1.2 Explaining processes by which ICT can help processes of customer
relationship management
As per McDonagh and Prothero (2014, p.1189), components of ICT includes communication,
information as well as technology that assists in work processes of several business
enterprises. In order to enhance relationship-marketing, use of loyalty cards, online process of
feedback and monitoring and scheduling every task is done in TESCO. Online production
helps in gaining attention of a large number of customers. As a result, a huge number of
customers is accessed using this process. Moreover, research capability of TESCO has
improved greatly with the usage of ICT tools. In planning, scheduling and resourcing
activities, ICT tools smoothes work process greatly. As a result, proper monitoring and
controlling of every project of TESCO can be done without any trouble. Relationship
marketing is of massive benefit because it increases equity of users, provides them with huge
value and creates brand recognition in market (Choi et al. 2015, p.234).
This enterprise has conducted marketing mix of its every product in such a way that it can
reach to a large number of customer base. Moreover, behaviour of purchasers helps in
making a corporate identity in competitive market. TESCO has become a glorifying name in
market that has led to creating trustworthy relations with each stakeholder. However, TESCO
has maintained issues of credibility suitably so that business processes are not hampered.
TESCO has undertaken process of trial for its products, which helped customers to judge
such products effectively. No malpractices are adopted by this enterprise, in order to market
its products. Reference groups of TESCO made this venture to enhance their business
practices more for sustaining competition in market. Therefore, it can be said that ICT tools
help in amplifying relationship marketing, which in turn brings profit for this entity.
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1.3 Describing effectiveness of customer relationship management in
particular firm
Customer relation management is efficient because it follows principles and ethics of
business while interacting with users (Awasthi et al. 2014, p.55). This process assists in
understanding behaviour of customers towards products and services. TESCO follows CRM
systems in a tactful way in order to increase profits of business and create brand awareness
among people. CRM systems can bring huge reformation in business practices thereby,
increasing market revenue in a great percentage. Traditional CRM methods of TESCO were
providing solutions to customers after taking feedback from them. Besides, traditional CRM
practices tracked rate of sale of products in order to understand enhancement in profit margin.
However, recent trends of CRM have changed. TESCO has used online process for
consulting with numerous purchasers in order to meet expectations of customers.
Traditional approach of understanding customers are also fulfilled in this method and
innovative ways of interacting with buyers are also adopted. As a result, maximisation of
value of customers and market share of TESCO is done by using this CRM strategy.
Efthymios et al. (2016, p.328) commented that new trend of CRM system has supported
several organisations to gain immense recognition and popularity in market. TESCO has
enhanced its possibility of gaining huge advantage in long run of business with the usage of
such effective CRM. However, recording of data of customers is not under control of this
business firm. Several CRM related software maintains records of data, which might lead this
venture to lose data sometimes.
This business house uses internet and other digitalised technologies for improving
communications as well as relationships with other business ventures. It uses social media in
order to interact with variety of customers, which can be considered as a great need to every
business enterprise. Morosan et al. (2014, p.16) mentioned that Social CRM can assist in
taking knowledgeable decisions that will increase connectivity between customers. This
entity uses social CRM strategy for engaging more buyers under its control thereby,
expanding business marketing appropriately. Effective CRM strategies have assisted this
enterprise in maintaining a high position in competitive market.
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1.4 Providing recommendation for improving customer relationship
management
Customer relationship management helps in improving relation between customers and other
employees. In TESCO, CRM strategy has proved beneficial for their enterprise. It helped in
sustaining competition in market thereby, increasing market share. However, some issues
related to marketing are still present in TESCO that might create nuisance in business
processes. In order to avoid such situations, it is recommended that this organisation need to
focus on customers in homeland instead of concentrating users in foreign market. This will
lead to boost market share for this enterprise in massive amount. Moreover, resources for
products of this enterprise need to be gathered from both foreign as well as local market. This
can help in meeting needs of every customer suitably. As a result, customer relationship
management will also be improved. Apart from this, strategies need to be prepared in such a
way that might not affect business practices in following years. This organisation needs to
maintain strong bonding with employees so that beneficial outcomes can be ascertained in
business. Digital marketing technique needs to be encouraged in this entity because it will
ease process of interaction between purchasers and venture. If these policies are followed by
this enterprise, it is sure to maintain suitable customer relationship management in this
business processes.
Task 2
LO2
2.1 Carrying out stakeholder analysis for public as well as voluntary sector
organisation
Flint et al. (2014, p.24) demonstrated that stakeholder analysis helps in identifying
stakeholders, prioritise them as well as knowing important stakeholders among them. NHS is
a public sector that provides health services for people of UK whereas Wellcome Trust is a
voluntary organisation that provides funds for researches related to improvement of animal as
well as human health. Public Sector has started to conduct marketing of their products so that
people can use their services and gain benefits. NHS performs work in such a way that sick
people are cured in suitable time without any trouble. Marketing done by this venture is done
in such a way that that needs of customers are fulfilled and efficiency can be attained in
workplace. However, several criticisms related to work of NHS are found. Some of them are
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less usage of resources and expensing more on initiatives of brand. Wellcome trust is
donating money for a noble cause. Beneficiaries of this venture include people and animal for
which fund is provided so that research can be done duly. It uses direct methods of marketing
for services that are provided for people (Nhs.uk, 2017).
Budget is important concern for voluntary ventures because it has to provide funds in lump
sum amount for people. NHS conducts stakeholders’ analysis for identifying their
stakeholders properly in order to provide them with suitable service. In NHS, service users
are considered as important stakeholders and satisfying them in their first priority. Wellcome
Trust has prioritised sick people as their first priority. This is so because people are suffering
from several diseases nowadays. It has become a necessity to prepare such products that will
lessen pain of people and animals too. NHS has understood motives of stakeholders and
performed their task accordingly. This helped this healthcare to gain loyalty and trust of large
number of ailing people. Wellcome Trust knows significance of research in field of medical
research. That is why; it provides funds for such noble acts for providing quality life for sick
people. Nilsson and Ballantyne (2014, p.375) mentioned that stakeholders analysis need to be
plotted in power and interest grid for understanding requirements of stakeholders. This will
let them deliver quality services for people in massive amount. Wellcome Trust lays
emphasis on funds collection and providing that for research conduction.
Figure 2: Stakeholder Analysis
(Source: Grönroos and Gummerus, 2014, p.216)
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Keeping people
satisfied
Letting informed
properly
Monitoring them
closely
Managing them
properly
2.2 Describing nature of relationship with buyers for selected non-profits
organisations
Mental Health Providers Forum and Young Foundation are two different non-profit
organisations that are working continuously for improving social conditions. Kozlenkova et
al. (2014, p.2) stated that identification of target customers are important for every type of
enterprises. Nature of relationship between customers and these non-profit organisations are
different. Mental Health Providers Forum provides place for mentally disturbed people to live
without any issues whereas Young Foundation works to bring innovatively and creativity in
society by reforming inequality in social structures. Mental Health Providers Forum deals
with mentally disabled people that lead this enterprise to maintain good relation such people.
This helps such deformed people to live happily and freely (Mhpf.org.uk, 2017).
Young Foundation deals with its customers in a tactful way so that they up take their
suggestion for bringing innovation in society. Methods of communication in non-profit
organisation have to be very strong so that people can understand benefits of its work in their
life (Malmelin and Moisander, 2014, p.10). Nature of communication for Mental Health
provider is direct and they communicate with such people in a careful way whereas Young
foundation analyses needs of customers and suggest them in a polite manner. Stakeholders in
both organisations include people, service providers and creditors. Among them, important
stakeholders for both these entities include people and second priority goes to service
providers (The Young Foundation, 2017).
Power level
Interest level
Figure 3: Power/Interest Grid
(Source: Yu et al. 2014, p.115)
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2.3 Comparing methods used in marketing of public, private and voluntary
sectors
As stated by Meidutė-Kavaliauskienė et al. (2014, p.335), marketing can be considered as
important part of every business entity because it is the only process of encountering with
numerous people. Public, Private and voluntary organisations conduct marketing in a
different manner. NHS performs their marketing by providing quality services for people.
Target market has been set by this entity from its start of business. This venture conducts
marketing task by creating awareness among people regarding their services. It conducts
several programs on health for reaching to more number of people. This health care lays more
focus upon customers, which results in creating immense awareness among customers
(Nhs.uk, 2017).
Arcadia Group is a private sector that is one of the leading retail sectors of UK. Marketing of
products of this enterprise can be considered as an important part of their business. In order to
sustain competition in market, it does marketing by using media like television, social media
sites and by spreading brochures all over local and international market. Moreover, it
provides discount on different products in order to conduct its marketing in a suitable
manner. This helps in gaining attention from people thereby, ensuring profit in business
(Arcadiagroup.co.uk, 2017).
Voluntary organisations are sole purpose companies that are inclined towards enhancing
profits in business by providing quality services for people (Padilla-Meléndez and Garrido-
Moreno, 2014, p.388). Wellcome Trust undertakes several measures for attracting donors
towards this enterprise. This will lead to bringing betterment to life of people. This
organisation does content marketing, prepares small videos of their work and uploads such
contents over internet. As a result, gigantic numbers of people are attracted towards their
work and they donate to such entities for the sake of people (Wellcome.ac.uk, 2017).
2.4 Demonstrating important issues involved in marketing in a selected
venture
Business enterprise that has gained successful recognition among people by using e-
commerce is known as virtual organisation (Griffith et al. 2014, p.310). Amazon is an
example of such virtual sector that has made notable success from its years of origin in field
of trade and commerce. It has brought immense revolution in e-commerce term of business.
Customers of this venture are spread all over the world. Online purchasing has led people to
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