Marketing Essentials Report: Roles, Mix, and Marketing Plan

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This report provides a comprehensive overview of marketing essentials, exploring the roles and responsibilities of the marketing function within an organization. It delves into the various aspects of marketing, including marketing information management, distribution channels, product management, pricing, promotion, selling, and financing. The report also examines the relationship between the marketing department and other organizational functions such as production, finance, human resources, research and development, customer service, administration, and information and communication technology. Furthermore, it analyzes how different organizations apply the marketing mix, with a specific focus on McDonald's. The report includes an in-depth marketing plan for McDonald's, considering its organizational structure and marketing strategies. Overall, the report provides a detailed analysis of marketing concepts and their practical application in a real-world business context.
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MARKETING ESSENTIALS
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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
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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
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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.
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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
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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:ï‚· 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.ï‚· 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.
ï‚· 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
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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
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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:
ï‚· Adequate research and development is carried so as to satisfy current and future customer
demands.
ï‚· The product development and production is done according to design specialisation given
by the customers.
ï‚· 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 :
ï‚· Appropriate budget is allotted to research, promotion and distribution.
ï‚· 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:
ï‚· Suitable employees are being recruited according to the market plans.
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ï‚· Selection of Staffs that will meet production targets.
ï‚· Recruitment of staffs according to new business idea or research purpose.
ï‚· 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:
ï‚· New product is developed according to the demand in market.
ï‚· Continues up gradation of the existing products as per the consumers needs.
ï‚· 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:
ï‚· Best customer service is provided to the consumers.
ï‚· That customer service department do not be unaware of any promotional trick used by
marketing department (Oplatka and Hemsley-Brown, 2012).
ï‚· 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
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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
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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
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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
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